The industry would have a problem with this because it makes it hard for them to compete outside of the US, where players will not tolerate this kind of "paperwork" for their gambling.
They could get around this by separating US and non-US players, but given the size of the US market, this could reduce their ability to compete for non-US players with promotional offers that are likely to be funded from their profits, most of which will come from the US.
A 2% tax on the company seems reasonable, and the UK screwed up by asking for 15% "VAT" on companies that wanted a UK license, which is why almost no-one has one, preferring instead to use a whitelisted territory which taxes at around the 2% level proposed here.
The US system of taxing players directly, rather than the company, makes it hard to compete in an international arena. Most other countries tax the companies, and individual customers do NOT have to declare anything on their individual rax returns. This system is far more "internet friendly" than the US system, which was designed in the days when casinos could not be trusted to pay the correct taxes if they were administering the system, so the onus was placed on the players to declare their wins individually based on a compulsory form that casinos had to hand over when paying larger wins.
Even non-US residents have to navigate this system when visiting a US land casino, and if they get it wrong, will end up losing 30% of their payout, and face having to claim it back later, if possible. I was told to have my passport handy so that I could prove I was visiting from abroad, and would not have to have 30% withheld from any payouts.