South Carolina First State to Set Sports Betting Hearing in 2026

• South Carolina has set a hearing for an online sports betting bill for later this month
• S444 was introduced in the 2025 legislative session
• Sports betting legalization has an uphill battle in the Palmetto State

An unlikely state is set to kick off the 2026 sports betting legalization season.

The South Carolina Senate has scheduled a hearing in the Labor, Commerce and Industry Committee on Wednesday, Feb. 18, for S.444, a bill to legalize online sports betting in the state. The legislation was introduced on March 12, 2025, and carried over to the 2026 session.

South Carolina is the first state in 2026 to set a public hearing for an online sports betting bill.

South Carolina Sports Betting Bill Details

The bill, introduced by Sen. Tom Davis (R-46) and Sen. Matthew W. Leber (R-41), will allow for no more than eight online sports betting operators and sets an adjusted tax rate at 12.5% of gross sports betting revenue.

The legislation will establish a South Carolina Sports Wagering Commission to oversee the sports betting market and will only allow operators who are already established in at least five other states to apply for a sports betting license.

It will allow sports betting customers to place wagers on collegiate sports.

The bill requires all applicants to submit a $100,000 application fee and a licensing fee of $1 million. If the application is denied, the licensing fee will be refunded, but the application fee will remain with the state. Licenses will last for five years. Unlike the majority of most legalized states, South Carolina will set the legal age to bet on sports at 18.

The commission will officially set the sports betting tax rate at 12.5% of adjustable sports betting gaming revenues. Operators will be able to deduct promotional spending from their gross gaming revenues.

Sports betting tax revenues will be distributed as such:

• 82% to the general fund
• 10% to the general fund to be distributed quarterly to each local government in the state on a per capita basis, as determined by population based on the last census
• 5% to the Department of Mental Health to oversee one or more grant programs with organizations to provide treatment services for individuals with problem gambling
• 3% to provide for the administrative and operating expenses of the South Carolina Sports Wagering Commission

What Chance Does South Carolina Have?

While a hearing has been set for the bill, the Palmetto State’s chances to legalize online sports betting are still low.

Rep. Chris Murphy (R-98) introduced an identical bill, H. 3625, last year to legalize online sports betting and the bill was referred to the House Committee on Ways and Means. It never received a vote and did not pass through the subcommittee process.

Murphy, one of the main proponents of legalized online sports betting in South Carolina, resigned from the House on Jan. 5, 2026. While 10 co-sponsors of the bill still remain in the House of Representatives, the legislation faces an uphill battle for approval.