Missourians spent $543 million wagering on sports in December, the first month of authorized sports betting in the state. But solely a fraction of that came back as tax revenue — simply over $521,000.
Many of the sportsbooks licensed in Missouri reported detrimental taxable revenue in December. That’s largely a results of sports betting firms providing Missourians $125 million in free bets that month, aiming to get them began on cellular betting apps. And the modification that legalized sports betting permits them to deduct “the cost of free play or promotional credits” from taxable earnings.
“We knew that that language was going to be a challenge for revenue,” stated Jan Zimmerman, chair of the Missouri Gaming Commission. “But it wasn’t unexpected.”
Even nonetheless, Zimmerman stated she’s happy with the rollout, and wanting to study extra subsequent week about how the trade fared in January.
“I’m optimistic. I’m hoping that, you know, people have kind of settled in, although there were certainly lots of bets in December,” Zimmerman stated.
- Jan Zimmerman, chair, Missouri Gaming Commission