Lottery Industry Shifts: Tax Relief, New Game, WLA Summit

The lottery industry enters February 2026 with a focus on regulatory adjustments, impending game launches, and ongoing preparations for major events.

Key Takeaways

• U.S. gambling tax reporting sees a significant threshold increase for certain winnings, providing operational relief starting this year.
• A new multistate annuity-style lottery game is set to launch soon, aiming to offer lifelong prizes and refresh product offerings.
• Global lottery associations emphasize upcoming summits and societal contributions, signaling continued industry collaboration and modernization.

Millionaire for Life: New Multistate Annuity Game

The Multi-State Lottery Association (MUSL) is advancing plans for "Millionaire for Life," a new draw-based game designed to provide winners with annual payments for life, similar in structure to existing annuity options but with refreshed mechanics. Several member lotteries, including those in Colorado, North Dakota, Ohio, Montana, Connecticut, and South Dakota, have approved or proposed rule changes to transition from existing games like Lucky for Life to this new offering, with a targeted start in February 2026. The game aims to enhance player appeal through long-term prize security and could bolster multistate participation amid evolving consumer preferences for sustainable winnings.

Source: MUSL announcements and state lottery meeting minutes (e.g., via Public Gaming and state lottery sites)

WLA Builds Momentum Toward World Lottery Summit

The World Lottery Association (WLA) and host member The Lottery Corporation have officially begun preparations for the World Lottery Summit 2026, scheduled for November 9-12 in Sydney, Australia. The event will convene global lottery leaders at Darling Harbour to discuss innovation, integrity, and societal impact. Recent WLA communications highlight the industry's strong role in funding good causes, with members raising billions annually for public benefit. This underscores ongoing global collaboration as lotteries adapt to digital trends and regulatory demands.

Source: https://world-lotteries.org/insights/news

Powerball and Mega Millions Maintain Strong Momentum

U.S. multistate games continue to drive player engagement, with Powerball recently at $59 million (no winner on January 31) and Mega Millions reaching $303 million as of late January. No major record jackpots were claimed in the immediate past week, but ongoing rollovers sustain high visibility and sales. These games remain central to North American lottery trends, supported by consistent draw schedules and public interest in large annuities.

Sources: State lottery sites (e.g., Michigan Lottery, Powerball.com)

The week reflects a period of foundational shifts rather than disruptive events, with tax and product updates positioning the sector for sustained growth.