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    Home»News»Billions in tax revenue would be generated by expanding sports betting legalization
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    Billions in tax revenue would be generated by expanding sports betting legalization

    Editor Times FeaturedBy Editor Times FeaturedJanuary 30, 2026No Comments3 Mins Read
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    Billions of tax income could be generated if all 50 states within the US made sports activities betting authorized, a report by the Tax Foundation claims.

    If all states established statewide playing markets, the Tax Basis estimates that gross gaming income (GGR) would improve by $15.6 billion per yr.

    If all 50 states established authorized, open, statewide sports activities gaming markets, a ten % GGR tax would generate a further $1.6 billion per yr in tax income.

    Learn extra: https://t.co/Hyj896fF1B

    — Tax Basis (@TaxFoundation) January 22, 2026

    This determine is greater than double what’s being reported proper now, and authorized sports activities betting in all states would generate $1.6 billion yearly in tax income, assuming a ten% GGR tax.

    Regardless of most states legalizing sports activities wagering in some type, solely 30 states enable bettors to make the most of on-line betting platforms.

    Choropleth map of the United States showing projected 2025 tax revenue from legal sports betting in states without statewide markets. States are shaded from light to dark blue to indicate lower to higher estimated annual tax revenue, ranging from about $5 million to nearly $570 million. California, Texas, and Florida are the darkest, representing the largest potential gains. The map headline states that nationwide legalization would increase annual tax revenues by $1.6 billion, with data attributed to the Tax Foundation.
    A Tax Basis report estimates that legalizing sports activities betting in all 50 U.S. states may generate $1.6 billion in annual tax income, with the largest positive factors coming from California, Texas, and Florida.

    Ought to legalization happen in all states, the largest tax income positive factors would happen in California ($570 million), Texas ($326 million) and Florida ($199 million), which might contribute considerably to the financial system.

    Might we see sports activities betting legalized in all states sooner or later?

    Sports activities betting continues to be unavailable throughout 11 US states

    Missouri has develop into the most recent state to legalize sports activities betting, with the first state-regulated sportsbooks going dwell in the direction of the top of final yr.

    Choropleth map of the United States showing which states and Washington, DC allow statewide online sports betting and their estimated online sports betting tax rates as of August 1, 2025. States permitting online betting are shaded in green, with darker green indicating higher tax rates ranging from about 6.75% to 51%, while states without statewide online betting are shown in gray. The map title notes that 30 states and DC allow statewide online sports betting, with data sourced from state statutes and LegalSportsReport.
    As of August 2025, 30 U.S. states and Washington, DC enable statewide on-line sports activities betting, with tax charges various extensively—from beneath 7% in some states to over 50% in others—in keeping with the Tax Basis.

    That now leaves 11 states the place sports activities betting is just not authorized: South Carolina, Hawaii, Georgia, Alabama, Alaska, California, Texas, Oklahoma, Minnesota, Utah and Idaho.

    Whereas California and Texas could be the 2 greatest turbines of tax income ought to legalized sports activities betting be launched, among the smaller states would nonetheless generate thousands and thousands.

    Hawaii, for instance, would generate $11 million per yr in tax income, regardless of a small inhabitants of adults throughout the state.

    Idaho additionally has a smaller inhabitants of adults in comparison with different states, but it might possible generate round $13 million per yr in tax income.

    Even Alaska, with a 3rd of the inhabitants confined to rural areas, would be capable to generate $6 million in tax income, regardless of the state having no skilled sports activities groups within the state.

    Of these 11 states, solely Georgia has an lively legislature concerning the legalization of sports activities betting, suggesting there may be loads of work to do to make sure all 50 states may gain advantage from the additional tax income.

    Featured picture: Grok

    The put up Billions in tax revenue would be generated by expanding sports betting legalization appeared first on ReadWrite.





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