Ohio implements nation-first increase in sports betting tax

In a groundbreaking move, Ohio is taking the lead by implementing a significant increase in the tax on sports betting.
Governor Mike DeWine has made a provision in the 2024-2025 executive budget to raise the state’s sports betting tax rate to 20%.

After thorough negotiations between the Ohio House and Senate, an agreement has been reached on the state’s budget, signaling major implications for the sports betting industry in Ohio.

Doubled tax rate approved in budget conference committee

The budget conference committee has given its seal of approval to an amended version of the budget, effectively doubling the current tax rate on sports betting from 10% to an imposing 20%. Initially proposed by Governor Mike DeWine in his budget, the tax rate increase faced initial exclusion by the House. However, the Senate reintroduced the measure, leading to its eventual inclusion in the final version of the budget agreed upon by the conference committee.

Governor DeWine has expressed his pride in signing the budget, which not only allows for remarkable state investments but also strives to uplift Ohio’s children, empowering them to lead happier, healthier, and more productive lives than ever before. Recognising the importance of supporting families and communities, the governor emphasises the provision of essential aid to individuals facing various challenges.

Economic boost on the horizon

Projections indicate that this tax rate increase will translate into a substantial annual revenue boost for Ohio. It is estimated that the state will generate an additional $100-$135 million in tax revenue annually from sports betting. Governor DeWine first introduced this idea in February, fueled by the impressive performance of Ohio’s sports betting market during its initial month, which saw over a billion dollars in handle. Although subsequent figures have not reached the same heights, the natural ebb and flow of the sports calendar explains this decline.

Join in on SiGMA Group’s next adventure to the Philippines

As the inaugural SiGMA Americas and BiS Summit in São Paulo, Brazil concludes with resounding success, the journey into the captivating world of iGaming continues with the highly anticipated SiGMA Asia Summit.

Set your sights on Manila this July as we invite you to immerse yourself in a PAGCOR-endorsed event that promises an extraordinary exploration of the Asian and Philippine gaming markets. Prepare for an exhilarating experience as we delve into in-depth discussions on gaming regulation, industry trends, and the boundless possibilities that lie ahead.