In the half-dozen years since the Supreme Court in 2018 effectively allowed legal sports betting in all states, 38 of them and D.C. have to some extent authorized wagering — often with the express purpose of stabilizing state finances by taxing the new business. Sure enough, gambling on games has exploded, mobile sports betting apps have proliferated and Americans are wagering — and mostly losing — increasing amounts of money. They bet nearly $120 billion in 2023, netting the gambling industry close to $11 billion in revenue.
And at first glance, it would appear that states are raking in the expected rewards. New York brought in the most in gambling tax revenue last year with $876 million, a 24 percent increase over 2022.