This chapter examines how governments in many nations and regions tax casino gambling and also considers the economic effects of that taxation. The first section analyzes the nature of casino gambling, along with the forms of taxation that governments apply to casino operations, including wagering taxes, admissions taxes, fees, and other taxes. Section 2 examines the economics of casino taxation, including market analysis of a casino game, efficiency effects of casino game taxation, equity impacts or the incidence of casino taxation, and optimal government tax policy regarding casinos. Section 3 provides a summary of the forms of taxation used around the world, highlighting major gambling locations, such as Las Vegas, Macau (Macao), and Singapore, among others.