Arizona sports betting revenue tops $500 million in January

PHOENIX (AP) — Arizonans haven’t stopped embracing the state’s entry into legalized sports activities betting, plopping down $564 million in January wagers and profitable again $522 million, the overwhelming majority by way of on-line apps licensed to the state’s professional sports activities groups and Native American tribes.

The monthly Department of Gaming report on outcomes from the fifth month of legalized wagering on sports activities confirmed the 12 on-line operations and two brick and mortar sports activities books made simply over $40 million after federal taxes.

However they gave away greater than $20 million in free bets. That left simply $19.6 million topic to state taxes, which totaled $1.9 million. The state levies an 8% tax on retail wagers and 10% on cellular app bets.

The free wager credit, that are designed to lure gamblers, part out over a number of years. They begin at 20% of gross receipts within the first two years after which drop to fifteen% after which 10% earlier than ending within the sixth yr.

The opposite betting legalized beneath the 2021 legalization, fantasy sports activities, s aw $3.9 million in entry fees and profits before state taxes of $431,000. The state prices 5% on fantasy sports activities income and introduced in simply over $21,000.

Fantasy sports activities betting launched in late August and full-on sports betting on Sept. 9.

Between the launch of sports activities betting and the top of the yr, gamblers wagered greater than $1.7 billion and the sports activities books made about $60 million in revenue. That led to taxes paid to the state of $6.1 million.

Estimates range extensively for the amount of money the state will absorb beneath the legalized sports activities betting legislation, signed by Gov. Doug Ducey in April together with up to date tribal gaming compacts. The Legislature’s funds analysts estimated simply over $15 million a yr, whereas trade proponents put the quantity a lot greater. The invoice sponsor, Republican Rep. Jeff Weninger of Chandler, at one level mentioned it might be $100 million per yr.

The newly legalized sports betting was a part of a deal that allowed the state’s Native American tribes to get 10 of the accessible licenses {and professional} sports activities groups to get the opposite 10. Tribes additionally vastly broaden the kind of playing they’ll supply at tribal casinos.

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Arizona sports betting revenue tops $500 million in January

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