Illinois legislators have called the bluff of online sports betting companies that are suggesting they might reduce operations — or close up shop in the state altogether — after being slapped with a higher graduated tax system in Gov. J.B. Pritzker’s latest budget.
FanDuel and DraftKings will soon see their net revenue taxed on a scale that tops out at 40% under the spending plan passed by the Illinois General Assembly last week. That’s up from the 15% flat rate levied against sportsbooks since the now $1 billion Illinois industry launched in 2020.
The top two mobile betting giants — who raked in more than $729 million from Illinois bettors last year and have come out on top by nearly a quarter-billion so far this year — say the hike is enough to make them “reevaluate their level of investment and participation in the state.”
