Changes are likely coming to Tennessee’s sports betting market.
State legislators…passed SB 475 on Friday. The bill changes the state’s mobile sports betting tax system from a 20% tax of adjusted gross revenue to a 1.85% tax on an operator’s handle.
The bill also removes the state’s controversial mandatory 10% hold rule, which sports betting operators were skirting by paying a minuscule fine when failing to meet the threshold. The bill “prohibits licensees from deducting payouts to bettors or promotional wagers or payouts from total gross wagers.”
The handle tax will be the first of its kind nationally, assuming Gov. Bill Lee signs SB 475 into law.
