Overview
- Budget negotiators have agreed in current state budget talks to raise the operator tax on legal sports betting from 18% to 23%.
- Legal wagering has grown rapidly since launching in March 2024, producing about $1.6 billion in gross wagering revenue and roughly $299–300 million in taxes collected under the 18% rate.
- May wagering topped $561 million, marking the ninth straight month with more than $500 million bet, and monthly receipts have exceeded original state forecasts.
- The added revenue is slated for targeted uses including gambling addiction treatment, youth sports programs, a Major Events Fund, allocations to 13 UNC System athletics departments, and the state general fund.
- Operators and their trade group oppose the hike, warning it penalizes licensed companies and could affect the regulated market, while analysts estimate a 23% rate from launch would have yielded about $83 million more in taxes to date.