Sports Betting Popularity by State

In addition to taking on the risks of gambling, taxpayers must pay their regular income tax rate on net winnings. U.S. states collected $2.6 billion in taxes on sports betting in 2024, a 29% increase from a year earlier. Incentivized by this tax revenue, many states have been loosening their sports-betting laws, with more considering similar action. Online sports-betting platforms such as DraftKings and FanDuel have proliferated in response. The taxes on wins, in turn, can serve as a proxy for overall sports-betting activity.

With the current dynamism of gambling legislation across the nation, SmartAsset ranked 43 states with available data based on the total taxes collected from sports betting in each state, including relative proportions of the total taxes collected by the state and year-over-year change.

Key Findings

Gamblers are at least 5x luckier in New York. Based on the gross taxes collected from sports betting, New Yorkers are winning most. With $912.9 million collected in taxed winnings, New York state is inching toward the $1 billion mark. Pennsylvania ranks second with just a fraction of this, at $187.9 million in taxes collected over one year.
Sports gambling makes up the biggest portion of the tax base in Montana. 1.35% of the state’s total collected taxes were from sports betting, making Montana the only state to exceed 1%, with $63.8 billion in sports-betting revenue. Meanwhile, in states with tighter restrictions on sports betting – including Wisconsin, Nebraska, and Washington – taxes collected on winnings equate are virtually nonexistent at less than 0.01% of all tax revenue.
Taxable winnings skyrocketed 3x in two states. Maryland saw a 260% increase in the tax revenue collected from sports betting between 2023 and 2024, going from $32.6 million in revenue to $117.3 million. Massachusetts saw similar growth, going from $39.4 million in revenue to $121.3 million – a 208% increase.
Sports betting tax revenue declined more than 30% in these states. Over the course of one year, the luck (or interest) declined most in West Virginia at -35.4%, with taxes collected dropping from $6.9 million in 2023 to $4.5 million in 2024. Delaware (-34.1%) and Nebraska (-31.8%) collections also dropped significantly in this timeframe.

Sports Betting by State

States are ranked based on the taxes collected on sports betting over the course of one year.

New York

Taxes collected: $912.874 million
Percentage of all state tax revenue: 0.76%
Sports betting taxes paid per capita: $45.95
One-year change in taxes collected: 20.60%

Pennsylvania

Taxes collected: $187.851 million
Percentage of all state tax revenue: 0.34%
Sports betting taxes paid per capita: $14.36
One-year change in taxes collected: 7.14%

Illinois

Taxes collected: $178.026 million
Percentage of all state tax revenue: 0.27%
Sports betting taxes paid per capita: $14.01
One-year change in taxes collected: 28.16%

Ohio

Taxes collected: $143.850 million
Percentage of all state tax revenue: 0.38%
Sports betting taxes paid per capita: $12.11
One-year change in taxes collected: 103.80%

New Jersey

Taxes collected: $133.573 million
Percentage of all state tax revenue: 0.26%
Sports betting taxes paid per capita: $14.06
One-year change in taxes collected: 26.73%

Massachusetts

Taxes collected: $121.310 million
Percentage of all state tax revenue: 0.28%
Sports betting taxes paid per capita: $17.00
One-year change in taxes collected: 208.28%

Maryland

Taxes collected: $117.336 million
Percentage of all state tax revenue: 0.38%
Sports betting taxes paid per capita: $18.73
One-year change in taxes collected: 259.95%

Tennessee

Taxes collected: $87.569 million
Percentage of all state tax revenue: 0.36%
Sports betting taxes paid per capita: $12.12
One-year change in taxes collected: 5.12%

Virginia

Taxes collected: $83.157 million
Percentage of all state tax revenue: 0.22%
Sports betting taxes paid per capita: $9.44
One-year change in taxes collected: 16.22%

Nevada

Taxes collected: $68.611 million
Percentage of all state tax revenue: 0.46%
Sports betting taxes paid per capita: $21.00
One-year change in taxes collected: 71.55%

Kentucky

Taxes collected: $65.587 million
Percentage of all state tax revenue: 0.38%
Sports betting taxes paid per capita: $14.29
One-year change in taxes collected: 16.99%

Montana

Taxes collected: $63.822 million
Percentage of all state tax revenue: 1.35%
Sports betting taxes paid per capita: $56.12
One-year change in taxes collected: 7.52%

Louisiana

Taxes collected: $56.873 million
Percentage of all state tax revenue: 0.36%
Sports betting taxes paid per capita: $12.37
One-year change in taxes collected: 46.30%

Indiana

Taxes collected: $43.488 million
Percentage of all state tax revenue: 0.17%
Sports betting taxes paid per capita: $6.28
One-year change in taxes collected: 7.45%

Arizona

Taxes collected: $40.671 million
Percentage of all state tax revenue: 0.17%
Sports betting taxes paid per capita: $5.36
One-year change in taxes collected: 18.35%

Oregon

Taxes collected: $39.530 million
Percentage of all state tax revenue: 0.23%
Sports betting taxes paid per capita: $9.25
One-year change in taxes collected: 22.54%

New Hampshire

Taxes collected: $33.655 million
Percentage of all state tax revenue: 0.94%
Sports betting taxes paid per capita: $23.89
One-year change in taxes collected: -8.70%

Colorado

Taxes collected: $30.198 million
Percentage of all state tax revenue: 0.16%
Sports betting taxes paid per capita: $5.07
One-year change in taxes collected: 20.72%

Connecticut

Taxes collected: $23.100 million
Percentage of all state tax revenue: 0.10%
Sports betting taxes paid per capita: $6.29
One-year change in taxes collected: 22.82%

California

Taxes collected: $21.385 million
Percentage of all state tax revenue: 0.01%
Sports betting taxes paid per capita: $0.54
One-year change in taxes collected: 10.12%

Rhode Island

Taxes collected: $20.566 million
Percentage of all state tax revenue: 0.39%
Sports betting taxes paid per capita: $18.49
One-year change in taxes collected: -23.78%

Michigan

Taxes collected: $19.575 million
Percentage of all state tax revenue: 0.05%
Sports betting taxes paid per capita: $1.93
One-year change in taxes collected: 18.01%

Iowa

Taxes collected: $18.334 million
Percentage of all state tax revenue: 0.14%
Sports betting taxes paid per capita: $5.66
One-year change in taxes collected: 7.61%

Wyoming

Taxes collected: $17.188 million
Percentage of all state tax revenue: 0.65%
Sports betting taxes paid per capita: $29.25
One-year change in taxes collected: 25.74%

Florida

Taxes collected: $12.165 million
Percentage of all state tax revenue: 0.02%
Sports betting taxes paid per capita: $0.52
One-year change in taxes collected: 12.64%

Kansas

Taxes collected: $11.593 million
Percentage of all state tax revenue: 0.09%
Sports betting taxes paid per capita: $3.90
One-year change in taxes collected: 99.02%

Alabama

Taxes collected: $11.267 million
Percentage of all state tax revenue: 0.07%
Sports betting taxes paid per capita: $2.18
One-year change in taxes collected: 36.44%

Delaware

Taxes collected: $8.849 million
Percentage of all state tax revenue: 0.14%
Sports betting taxes paid per capita: $8.41
One-year change in taxes collected: -34.12%

Arkansas

Taxes collected: $7.840 million
Percentage of all state tax revenue: 0.06%
Sports betting taxes paid per capita: $2.54
One-year change in taxes collected: 24.17%

West Virginia

Taxes collected: $4.486 million
Percentage of all state tax revenue: 0.06%
Sports betting taxes paid per capita: $2.53
One-year change in taxes collected: -35.42%

Mississippi

Taxes collected: $4.411 million
Percentage of all state tax revenue: 0.04%
Sports betting taxes paid per capita: $1.50
One-year change in taxes collected: 32.74%

Texas

Taxes collected: $4.203 million
Percentage of all state tax revenue: 0.00%
Sports betting taxes paid per capita: $0.13
One-year change in taxes collected: -14.22%

Vermont

Taxes collected: $3.234 million
Percentage of all state tax revenue: 0.07%
Sports betting taxes paid per capita: $4.99
One-year change in taxes collected: #DIV/0!

Maine

Taxes collected: $3.176 million
Percentage of all state tax revenue: 0.05%
Sports betting taxes paid per capita: $2.26
One-year change in taxes collected: 144.12%

Idaho

Taxes collected: $1.472 million
Percentage of all state tax revenue: 0.02%
Sports betting taxes paid per capita: $0.74
One-year change in taxes collected: 11.77%

North Dakota

Taxes collected: $1.467 million
Percentage of all state tax revenue: 0.03%
Sports betting taxes paid per capita: $1.84
One-year change in taxes collected: -0.20%

Minnesota

Taxes collected: $1.381 million
Percentage of all state tax revenue: 0.00%
Sports betting taxes paid per capita: $0.24
One-year change in taxes collected: -8.91%

New Mexico

Taxes collected: $1.287 million
Percentage of all state tax revenue: 0.01%
Sports betting taxes paid per capita: $0.60
One-year change in taxes collected: 35.19%

Washington

Taxes collected: $1.078 million
Percentage of all state tax revenue: 0.00%
Sports betting taxes paid per capita: $0.14
One-year change in taxes collected: -1.73%

Oklahoma

Taxes collected: $1.049 million
Percentage of all state tax revenue: 0.01%
Sports betting taxes paid per capita: $0.26
One-year change in taxes collected: -8.70%

South Dakota

Taxes collected: $0.177 million
Percentage of all state tax revenue: 0.01%
Sports betting taxes paid per capita: $0.19
One-year change in taxes collected: -19.18%

Nebraska

Taxes collected: $0.103 million
Percentage of all state tax revenue: 0.00%
Sports betting taxes paid per capita: $0.05
One-year change in taxes collected: -31.79%

Wisconsin

Taxes collected: $0.000 million
Percentage of all state tax revenue: 0.00%
Sports betting taxes paid per capita: $0.00
One-year change in taxes collected: 0.00%

Data and Methodology

Data comes from the U.S. Census Bureau’s State Government Tax Tables for tax years 2024, 2023 and 2019. States were ranked based on the tax revenue collected on sports betting wins during the respective tax years and for the purposes of this study serve as a proxy for overall online sports betting activity. Data was available for 43 states, Washington D.C. and the United States as a whole. Data was not available for Alaska, Georgia, Hawaii, Missouri, North Carolina, South Carolina and Utah. Data availability and sports-betting tax trends over time may be influenced by respective and developing gambling laws set by each state. Reported winnings at the state level does not account for any winnings that may have been offset by losses.

Sports Betting Popularity by State – 2025 Study

Key Findings

Sports Betting by State

Data and Methodology

Questions about this study? Contact us at press@smartasset.com