Senate Majority Leader Harry Reid from Nevada is preparing to introduce a bill that would legalise online poker play in the US state.

According to a report in the Wall Street Journal, the bill has the backing of Nevada’s gaming industry, a sector that has long been opposed to online gambling.

The proposed legislation would reportedly overturn the UIGEA laws that prevent banks from processing transactions between online gambling sites and players.

Currently in draft form, the bill may also restrict access to online poker sites in the US to existing casinos and horse tracks in the domestic gambling industry. Rather than federal, oversight would be provided at state level and taxes would be collected for both the federal and state governments.

One tactic that is reportedly under consideration is attaching the legislation into another bill - the same tactic that led to the ratification of UIGEA in the first place.

It is unclear as to whether Reid is expected to bring the matter to a vote during the current lame duck session (after elections, but before the next Congress takes power in January).