Legislators in Wyoming are making the latest push to raise sports betting taxes.
The Wyoming Legislature’s Select Committee on Capital Financing and Investments proposed three tax hikes on gambling last week, including WY sports betting.
The proposed increase comes as multiple states have raised sports betting taxes this legislative session.
Wyoming sports betting tax increase proposal
Legislators proposed doubling the Wyoming sports betting tax rate. That would take it to 20% from 10%.
Since sportsbooks launched in September 2021, the state has collected $3.8 million in taxes on $69 million in sports betting revenue.
The committee also proposed increasing taxes on “skill-based amusement games” to 25% from 20% and the tax on historic horse racing to 2.5% from 1.5%.
According to the Cowboy State Daily, the state, in 2024, brought in $24.9 million from 16 gambling vendors.
Lawmaker crackdown
Committee Chair Tara Nethercott led the proposals. Nethercott said the state has been “generous to players in this space.”
She also said the state has offered “modest regulation with little oversight.” Nethercott wants to see oversight and revenues that match the industry.
Opponents of the measure said the hikes would harm the solid growth the state’s gambling industry has seen.
Sports betting tax increases
Illinois legislators recently approved a 25-cent per-bet tax on the first 20 million wagers, which jumps to 50 cents after the first 20 million. FanDuel and DraftKings both announced a 50-cent fee per bet in Illinois.
The Illinois maneuver comes a year after Gov. JB Pritzker signed a bill to take the tax from 15% to a tiered system from 20% to 40%.
Maryland lawmakers approved an increase to 20% from 15% during budget negotiations. Louisiana legislators just passed a bill to raise the Bayou State rate to 21.5% from 15%.
Other state lawmakers are still discussing potential sports betting tax rate increases, including New Jersey and Ohio.
