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Legal US Online Sports Betting

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Online sports betting is getting more popular in the region of the US each day. The real expansion started in 2018 when the Supreme Court decision paved the way for the legalization of this way of betting. Now we are going to show you how online betting works as well as discuss which states it’s legal in and the main aspects of betting you should always pay attention to.

In the following states, you can bet online or at retail sports betting. In the listed states, sports betting is legal in some form or another.

StatesSports Betting Legal StatusOnline SportsbooksRetail Sportsbooks
ConnecticutLegal
DelawareLegal
District of ColumbiaLegal
MaineLegal
MarylandLegal
MassachusettsLegal
New HampshireLegal
New JerseyLegal
New YorkLegal
PennsylvaniaLegal
Puerto RicoLegal but not live
Rhode IslandLegal
VermontPending
StatesSports Betting Legal StatusOnline SportsbooksRetail Sportsbooks
AlabamaDead legislation
ArkansasLegal
FloridaLegal
GeorgiaDead legislation
KentuckyLegal
LouisianaLegal
MississippiLegal
North CarolinaLegal
South CarolinaNo legislation
TennesseeLegal
VirginiaLegal
West VirginiaLegal
StatesSports Betting Legal StatusOnline SportsbooksRetail Sportsbooks
IllinoisLegal
IndianaLegal
IowaLegal
KansasLegal
MichiganLegal
MinnesotaDead legislation
MissouriPending
NebraskaLegal
North DakotaLegal
OhioLegal
South DakotaLegal
WisconsinLegal
StatesSports Betting Legal StatusOnline SportsbooksRetail Sportsbooks
ArizonaLegal
New MexicoLegal
OklahomaPending
TexasNo legislation
StatesSports Betting Legal StatusOnline SportsbooksRetail Sportsbooks
AlaskaNo legislation
CaliforniaDead legislation
ColoradoLegal
HawaiiDead legislation
IdahoNo legislation
MontanaLegal
NevadaLegal
OregonLegal
UtahNo legislation
WashingtonLegal
WyomingLegal

The online betting world may be wide, but there are still some crucial aspects to it. So, we share the main rules and regulations along with facts that reveal the machinery behind betting online.

Licensing and Regulation

One of the key aspects of every brand is possessing a legal operating license. In order to get one, a sportsbook must fulfill certain conditions set by the state they wish to operate in.

In addition, legal brands come with many different betting opportunities. In other words, you will be able to place bets like moneyline, over/under, spread, prop bets, parlay bets, etc. Such bets allow you to predict an outright winner, the number of points, and convincing wins or defeats and combine them into one slip.

You will also run into plenty of different platforms on which to bet. For instance, sportsbooks like BetMGM, DraftKings, BetRivers, Caesars, and many others are available in various states. The same goes for mobile platforms like Fanatics, FanDuel, Borgata, and many more. 

Key Considerations for Bettors

As mentioned before, it is important for both betting platforms and users to stay on the safe side. That’s why brands that operate in a particular country require geological and age verification. More precisely, verifying your location and age is how sportsbooks get to know that you are in a legal betting region and that you meet the age limit criteria.

On top of that, legal operators feature special responsible gambling measures. This helps you keep good betting practices by not overdoing things. For example, brands teach you how to set deposit limits, spending, and stake limits, as well as how to do reality checks and take timeouts.

Last but not least, you may be obliged to pay taxes on the potential winnings you make by betting. In most cases, you need to report all your winnings surpassing $600.

Sometimes, the operator will ask you for your SSN in order to make a report instead of you. If you need to do it alone, you can refer to many tax agencies that offer a lot of help regarding tax reporting to the IRS.

What US States Allow Online Sports Betting?

For those of you questioning where it is legal to bet on sports, we’ve prepared a thorough review of states and their current statuses.

Arizona

Arizona is one of the legal states for sports betting in the USA, which was legalized on 24 May 2021, with its launch date being 9 September 2021. You can enjoy both online and retail betting in this state.
When it comes to potential restrictions, we must say that only users aged 21 or more can place bets there. Also, you won’t be able to place Collegiate prop bets. The tax rate in this state is 8% for retail and 10% for online betting. Some of the most popular sportsbooks in this region are Fanatics, Caesars, FanDuel, bet365, etc.

Arkansas

This is one of the states with legal sports betting that emerged on the horizon somewhat recently (legalized in 2022). Soon after the legalization, Arkansas showed up on the market (6 March 2022). Speaking of retail betting, it came to life a few years prior to online betting.

As is the case with many other states, Arkansas has a minimum age requirement of 21. It is also possible for this state to ban in-state betting on events and teams. Taxation here goes up to 13% on the first $150 million in revenue and 20% thereafter. Brands that boast big popularity in this state are Oaklawn Sports, Betly, and BetSaracen.

Colorado

Colorado found its way to the list of legalized states in 2019. It took a bit more than six weeks for it to go live on the market (1 May 2020). One month later, this state appeared on the market for retail betting.

Legal betting sites from this area forbid betting on all collegiate events. Besides, you have to be 21 or older to place bets. There’s a 10% tax on sports betting revenue for bettors from this region.

This region features a large number of sportsbooks. Among them, the most well-known ones are BetMGM, BetMonarch, BetRivers, Betsafe, ClutchBet, DraftKings, Fanatics, etc.

Connecticut

States where sports betting is legal also include Connecticut. It underwent a few legalizations in 2021 and had the launch date in the fall of 2021. Like most other states, Connecticut provides its residents with both online and in-store betting.

While it’s not allowed to bet on the in-state collegiate teams, you can place any other type of bet from this area. The age requirement for this state is the same as in the abovementioned states (21+).

As for the taxes, users’ potential winnings will have to undergo a 13.75% taxation rate on sports betting revenue. DraftKings, FanDuel, and Fanatics, are the most well-liked brands in Connecticut.

Delaware

Delaware’s legalization took place in 2018. The same year, retail betting came to life. The online betting market officially saw this state on 23 December 2023. Similarly to Connecticut, this state does not allow betting on in-state collegiate teams. Another thing that does not differ from other states is the minimum age requirement (21+).

The taxation rate in Delaware is pretty big (50% on sports betting revenue). Not only this but there are also not many live operators in this state as it emerged on the market less than one year ago.

District of Columbia

Somewhere around mid-2019, DC became one of the legal sports betting and gambling states. Around one year later, customers had a chance to place retail bets for the first time. Soon after, online betting followed.

In-district collegiate teams and events are types of bets that users from this area won’t be able to place. In contrast to Delaware, the tax rate in this state is commercial and much lower (10%). You can place bets with sportsbooks like Casarts by William Hill, FanDuel, BetMgm, and the like.

Florida

Although this state was legalized in 2021, Florida appeared on the market after over two years. Both online and retail betting officially became available on 7 November 2023.

Rarely is any state prohibition-free for placing bets. The same applies to Florida, which forbids Prop betting on all collegiate events. Plus, customers must be 21+ to be eligible for betting. Florida is a new state on the market. So, legal online gambling sites have yet to explore this region and start operating in it.

Illinois

Illinois was legalized back in 2019. After one year, the market showed its name for placing both retail and online bets. The land-based tax rate on winnings that undergo taxing is 15-17%, and the online tax is 15% on sports betting revenue.

It’s interesting that you can place bets on in-state collegiate teams only in person and that they cannot predict individual performances but only game outcomes. Quite expected, you must be 21 years or older to place bets in Illinois.

Illinois may not be a state where every sportsbook operates, but it certainly features plenty of them (e.g., Circa Sports, Hard Rock Bet, DraftKings, BetRivers, etc).

Indiana

The legalization of sports betting in Indiana happened in May 2019. In the fall of the same year, retail and online betting had their place on the market. Paying taxes on particular winnings relates to a fixed 9.5% rate on sports betting revenue. When we talk about the age requirements, Indiana is no exception to a 21+ rule.

It’s not common knowledge, but Indiana doesn’t allow in-play betting and forbids collegiate prop betting. As it popped up on the market almost four and a half years ago, many operators came in. Some of them are bet365, FanDuel, Unibet, SBK, Hard Rock, BetAmerican, and so on.

Iowa

On average, lots of states were legalized for sports betting in 2019. Iowa is one of them. The market list got its name sooner than expected. So, bettors could place bets in this state three months after legalization (May-August 2019). The state of Iowa also boasts a small tax rate for sports betting (6.75% on sports betting revenue).
Players can engage in different ways of betting, all but prop betting on in-state collegiate teams. Also, no person under the age of 21 must place bets or use any operator’s services. The majority of visitors from this state go to sites like bet365, BetMGM, BetRivers, Tipico, Bally Bet, Caesars, Fanatics, FanDuel, DraftKings, etc.

Kansas

Betting in Kansas became legal on 12 May 2022. The market launch date was on 1 September 2022 for both retail and online betting. Like some other states, Kansas’ tax rate lies at 10% for sports betting revenue. It’s so interesting that there are no forbidden bets in Kansas.

In this state, no players under the age of 21 are allowed to bet. While the list of sites to bet with is not too large, there are quite a few popular brands here. For example, you can place bets on platforms such as Fanatics, Caesars, FanDuel, BetMGM, DraftKings, etc.

Kentucky

Kentucky’s legalization took place not long ago (31 March 2023). Retail betting appeared on the market in September of the same year. The same goes for online betting, which followed three weeks later. Just like Kansas, Kentucky features no forbidden bet types.

On the other hand, betting on retail implies somewhat lower taxes (9.75% on sports betting revenue). However, the taxes for online betting are higher (14.25% on mobile/online betting revenue).

The legal age limit for betting in Kentucky is 18+. If you would like to place bets in this region, you could do that on sites like bet365, DraftKings, FanDuel, Circa Sports, and others.

Louisiana

Legalized as early as 2021, Louisiana’s name showed on the market in October 2021 for retail betting. Online betting had to wait until January 2022. There are no restricted bets for this region. Interestingly, the available tax rates include applications to the Bond Security and Redemption Fund. This further means that different percentages of taxes go to different facilities.

You must be 21 years of age or older to place bets in Louisiana. Just as Kansas and Kentucky, Louisiana lists similar sportsbooks for betting. Some of them involve Caesars, BetMGM, Betrivers, and ClutchBet.

Maine

Maine underwent legalization in May 2022. Still, it had to wait for more than one year to appear on the market for online betting. Retail betting is still not available in this state. Taxing in Maine includes different rates that go to different institutions.

If you reside in this state, you will have to be at least 21 years old to place bets. There are many available bets, but betting on in-state collegiate teams and events is not allowed. As Maine hit the market recently, no sportsbooks are officially available there. Still, many of them are about to show up.

Maryland

18 May 2021 was the date of legalization for Maryland. After half a year, the market listed this state for online betting. Retail betting came in one mother later. There’s a fixed 15% rate on sports betting revenue.

Maryland, unlike many other states, does not exclude any type of betting. The legal betting age is the same in most states (21+). It’s been open for operators for around three years, during which time many brands became available. So, Crab Sports, FanDuel, Fanatics, BetFred, and many others will let you place bets on their sites.

Massachusetts

In the summer of 2022, Massachusetts got its legal betting license. In early 2023, the market radar could show this state for retail betting. After three months, the same scenario happened for online betting. The taxes are a bit higher than the average. They feature a 15% retail rate and a 20% online betting rate allocated across various institutions. 

The forbidden bets relate to prop betting on collegiate teams, as well as in-state collegiate teams, with one exception (teams should participate in a tournament of four or more teams).

Bally Bet, BetMGM, DraftKings, and Fanatics Sportsbook are some of the available operators you can join while located in Massachusetts.

Michigan

Legalized almost five years ago, Michigan saw its first market launch date for online betting in early 2020. In March 2020, it also joined the retail betting market. The tax rates are divided into an 8.40$ rate on commercial land-based and tribal sportsbooks and a 9.65% rate on commercial online sportsbooks.

Michigan is another state where none of the bet types are restricted. Having been available on the market for more than four years, this state now features lots of operators. Among many, you’ll find FireKeepers Sportsbooks, ESPN BET, PlayEagle, DraftKings, BetMGM, FanDuel, WynnBet, Caesars, etc.

Nevada

Nevada is the oldest state when it comes to betting legalization (1949). If you’ve ever had a trip to Vegas, you would know that retail betting has been allowed there since a very long time ago. Online betting became available for the first time on the market in 2013.

It comes as no surprise that no bet variant is restricted in this state. Of course, there are rules about the minimum age for betting (21+). The taxes are relatively low (6.75% on sports betting revenue).

Numerous brands are available in this region, including the most popular ones: Westgate Superbook App, Circa Sports, Wynn Sports Betting App, and Caesars Sportsbook by William Hill.

New Hampshire

New Hampshire is yet another state that was legalized more than five years ago (12 July 2019). In late 2019, the market list added its name for online betting. Retail sports betting found its way to the market in August 2020. One of the things New Hampshire stands out from the crowd for is its tax rate.

Namely, the tax rate for online betting is 51% on sports betting revenue. Similarly, retail betting implies a 50% tax rate on sports betting revenue. Every person aged 18 or older can engage in betting in this state. For now, the main sportsbook you can bet with in New Hampshire is DraftKings.

New Jersey

New Jersey received a legal license for betting in 2018. Only three days after getting the license, this state appeared on the market for retail betting. Less than two months from then, online betting also showed up on the market radar.

Retail sports betting comes with lower taxes (9.75% on sports betting revenue) than online betting (14.25% on sports betting revenue). Betting on in-state collegiate teams and events is not allowed in New Jersey. You can place all the other bet types if you are over 21 with brands such as Borgata, Unibet, BetParx, BetRivers, bet365, and so on.

New Mexico

This Southern state went through the legalization procedure in May 2018. Five months later, the official market updated the list, and we could find its name there. Even though this is so, no data about taxes is available.

The same goes for restricted bets. For now, we only know that you must be 21 or older to be eligible for betting. The list of operators for this state has yet to be created.

New York

This East Coast state ended its legalization process in 2013. However, it had to wait as many as six years to enter the land-based betting market. On 8 January, New York also joined the online betting market. If you’re planning on placing land-based bets, your potential winnings will undergo a 10% tax rate. For online betting, taxes are much larger (51%).

No in-state collegiate teams and events bets are allowed in this state. The age limit includes a 21+ restriction for commercial casinos and sportsbooks, along with an 18+ limit for tribal casinos. Resorts WorldBET, Fanatics Sportsbook, BetRivers, DraftKings, and a lot more operators are available for you to choose from.

North Carolina

In North Carolina, tribal legalization happened in 2019. After a couple of additional legalizations, the market featured the name of this state in 2021 for tribal betting. Three years from then, North Carolina also appeared in the online betting market.

Tax revenue allocation in this state includes various departments, among which the total paid tax amount is divided. Users who are 21 or older can place bets in this area with no restrictions regarding bet types. Underdog Sportsbook, BetMGM, Caesars, bet365, and FanDuel comprise only a part of the available brands there.

North Dakota

North Dakota is similar to New Mexico in terms of restricted bet types, tax rates, and available sportsbooks. In other words, the official websites provide no information on the aforementioned aspects.

This is kind of unexpected as this state went through the legalization process in 2018. The market launch date for North Dakota was 2021. Despite this, you still won’t find any available betting operators in this midwestern state.

Ohio

In late 2021, Ohio joined the list of legalized states. Yet, it wasn’t until 1 January that both retail and legal online sports betting became available. All potential winnings are subject to a 20% tax rate.
There’s only one type of bet that you cannot place in this state, and that’s prop bets on individual college athletes. The age limit is similar to the remaining states (21+). You sign up with Caesars, DraftKings, Fanatics, FanDuel, betPARX, bet365, betr, and many other operators to place online bets in Ohio.

Oklahoma

Oklahoma is currently pending approval. In other words, its status shows active legislation and ballot initiative. It is still not known when and if this status will change. 

Oregon

Oregon legalized sports betting in August 2019. Soon after, the market list had the name of this state on it for retail betting. Around two months passed before online betting also appeared on the market.

If you are a lottery fan, you should know that betting on all collegiate teams and events is not allowed in Oregon. Paying taxes would include calculating your lottery sports betting revenue and taking off expenses. You have to be aged 21 or older in order to bet in this state. The most widespread brand in this region is DraftKings.

Pennsylvania

On 30 October 2017, Pennsylvania successfully went through the legalization phase. In November of the following year, the market list showed this state for retail betting. In 2019, the same happened for online betting.

Pennsylvania has a 36% tax rate (34% state tax and 2% county tax). The good news is that there are no restricted bets in this state and that everyone aged 21 or beyond can place bets. The list of sportsbooks is extensive. Therefore, you may come across operators like BetParx, FanDuel, Fanatics, Unibet, to name a few.

Rhode Island

Rhode Island had two separate legalizations for retail (22 June 2018) and online (25 March 2019) betting. Retail betting emerged on the market in November 2018. Almost one year later, the same scenario for online betting followed. Rhode Island’s sports betting revenue is taxed heavily (51%).

However, the legal age for betting is a bit lower than usual (18+). If you happen to be in this state, you must know that wagering on in-state collegiate teams and events is restricted unless teams participate in a tournament. In addition, prop betting on collegiate athletes is always forbidden. Lastly, Sportsbook Rhode Island is the main brand in this area.

South Dakota

South Dakota has been on the list of legalized states for more than three years. The same goes for the market launch date, which covers both retail and online betting. Speaking of which, customers should know that prop betting on collegiate athletes and in-state collegiate teams is prohibited.

This state boasts one of the lowest tax rates (9% on sports betting revenue). Even though online betting is legal, no brands have started officially operating in this region.

Tennessee

In the middle of 2019, Tennessee passed the legalization stage with success. One and a half years later, this state had its market launch. Tennessee has to be one of the states with the lowest taxes, obliging users to 1.85% rate of sports betting handle.

Restrictions show in-game prop betting on collegiate athletes and events. Aside from that, players have to turn 21 in order to bet on sports in this state. Betly, BetMGM, ZenSports, Wagr, Fanatics, and Caesars are a few sportsbooks you can join and bet with.

Vermont

The state of Vermont and its sports betting legalization date is 14 June 2023. The market launch date was January 2024. As this state surfaced relatively recently, only three sportsbooks are available for now (Fanatics, DraftKings, and FanDuel).

Vermont has devised tax rates for every available operator (DraftKings and Fanatics—31%, FanDuel—33%). Like plenty of other states, Vermont won’t let customers bet on in-state collegiate teams and events if they aren’t playing in a tournament. All users must be 21 to place bets, and the three aforementioned brands currently await them.

Virginia

The official legalization register shows Virginia’s legalization date as 22 April 2020. In early 2021, this state was added to the online and retail betting market list. Taxes aren’t too high in Virginia (15% on sports betting revenue). Moreover, the tax revenue is allocated to problem gaming initiatives as well as to the state’s general fund.

You won’t be able to place prop bets on collegiate events, along with in-state collegiate teams, when betting in this area. In contrast, there are a lot of sportsbooks to pick from (Caesars, Fanatics, BetRivers, Betfred, bet365, Unibet, etc).

Washington

The legalization dates for the state of Washington are as follows: 25 March 2020, 6 July 2021 – New Compact Execution, 1 September 2021 – Federal Register Publication. The final market launch date for Washington was on 9 September 2021.

Users have to be 18 or more years old to place bets in this state. Yet, they should be aware that Washington allows no bets on in-state collegiate teams. During a three-odd-year period, not many famous US operators became active in this region. Of course, many bettors hope for this to change.

West Virginia

West Virginia is a state with many favorable aspects when it comes to sports betting. First, its legalization date was more than four years ago. Retail betting became available on the market in the fall of 2018, whereas online betting launched in the winter of the same year.

Another interesting element is that tax rates encompassing the entire sports betting revenue lie at 10%. No bets are restricted, so you can place any bet you want if you are 21 years old. PointsBet, ESPN BET, BetRivers, and FanDuel are several brands on whose platforms you can place bets.

Wyoming

More than three years ago, Wyoming passed the legalization, becoming available on the market in September 2021. This state includes a 10% tax rate on sports betting revenue. No bet versions are forbidden, and customers aged 18 or more can bet in Wyoming. The most well-liked bookies in the US are also available there (Caesars, BetMGM, Fanatics, FanDuel, and DraftKings).

There aren’t strict rules as to which regions and states can get legalized. It’s up to legislatures in each state to decide whether to pass the respective bills or not. Putting it all together, time plays the key role in legalization of sports betting.

That said, many players had to patiently wait for their state to become legal, as it eventually did. The fact that betting is legal in almost 40 states speaks for itself.

The Future of Online Sports Betting in the US

As said earlier, it was just a matter of time before many states underwent sports betting legalization. This further means that there’s no clear pattern regarding which state will become legal next.

As we already discussed the legal states in detail, you can now check some non-legal, non-operational, and states with the pending approval status. This can inform you about the near and far future of sports betting in certain states.

Strange as it may seem, there are no states that are legal but are not operating at this moment. This is because all such states have either started operating or obtained the dead legislation status. Be it as it may, states like South Dakota, Washington, North Dakota, New Mexico, and Maine still wait for the first brands to start operating in their region.

States With Pending Sports Betting

States like Missouri and Oklahoma currently have a pending approval status. In Missouri, some bills weren’t passed due to the lack of funds for veterans. 

Oklahoma was about to pass the bill legalizing betting but postponed this due to the lack of clear and precise information about how sports betting would work in this state.

For now, you won’t be able to place bets in states such as Alabama, Alaska, California, Georgia, Hawaii, Idaho, Minnesota, South Carolina, Texas, and Utah. While many betting lovers hope for changes, different regions have stated different reasons as to why they don’t want to legalize sports betting.

Some of the reasons include anti-money laundering policies and other nefarious activities. States like Texas need a two-third chamber approval in order to pass the bill, which they can’t still get. In Missouri, the legislation passed in the house, but failed to pass in the Senate.

Summary

Sports betting is becoming legal in more states every month and year. It is a growing pastime activity in the US. With almost 40 legal states, users from various regions can engage in betting, which is generally very interesting. 

Of course, there may be some states that wait for the approval of online sports betting legalization and the ones that won’t have debates over this for the time being, but that may easily change in the future.

FAQ

In the final lines, we answer the most frequent question about legal US sports betting.

Gambling is legal in almost 40 US states.

These A large majority of states have legalized sports betting. Some of them are West Virginia, Tennessee, New York, New Jersey, Vermont, and more.bet credits must be played 20x through on any games other than Baccarat, Live Dealer casino games, or first-player quantum roulette to count as a qualifying bet. While not precisely free bets, these bet credits can only be cashed out once you’ve completed play through.

There are a lot of operators with legal betting apps in this country. Among many, you’ll run across sportsbook apps like FanDuel, Fanatics, BetMGM, Borgata, BetRivers, DraftKings, Caesars, etc.

Many states require you to be at least 21 years of age to be eligible to place bets. In some states, this limit is a bit lower (18+).