As one chapter in a volume examining various aspects of excise taxation, the present chapter addresses the taxation of gambling. But not all the revenueraising devices associated with gambling are strictly excise taxes, although most serve the same function. For that reason, this chapter considers not only conventionally defined excise taxes (levied on expenditures by betters or on receipts by operators) but also the profits made by government-operated gambling. By conventional public accounting standards, such profits are not strictly taxes. But since they serve essentially the same function, they are referred to in the present chapter as implicit taxes. These distinctions are discussed at greater length in this chapter.