North Carolina Outpacing Original Sports Betting Tax Revenue Estimates

• North Carolina has topped $60 million in sports betting tax revenue over six months
• The state is easily outpacing the original fiscal estimates for sports betting tax revenue
• Regulators are also gearing up for the state’s retail sports betting launch

North Carolina has outperformed nearly all sports betting tax revenue estimates during its first six months of operation.

During today’s North Carolina Lottery Commission meeting, Sterl Carpenter, deputy executive director of gaming compliance and sports betting, reported the state has taken in more than $62 million in sports betting tax revenue during its first six months of operation.

Originally, North Carolina’s approved sports betting legislation estimated a total of $8.5 million in sports betting tax revenue for the entirety of FY 24.

North Carolina Easily Outpacing Revenue Projections

North Carolina sports bettors have wagered more than $2.5 billion since the state launched on March 13, 2023. In the final few months of FY 24 (March 2024 through June 2024), the state took in $49,523,489 in sports betting tax revenue off of $275.1 million in gross gaming revenue. The state taxes gross gaming revenue at a rate of 18%.

So far, North Carolina is easily toppling all of the original sports betting fiscal estimates. Legislators included an original fiscal estimate for HB 347, which expected just $8.5 million in sports betting tax revenue for FY 24.

Through July and August, the first two months of FY 25, North Carolina has seen an additional $13.6 million in sports betting tax revenues. The original fiscal estimate believed the state would take in $53 million for the entire fiscal year.

Tax revenues from sports betting will likely explode over the course of the next several months, as the state enters into the lucrative football season where the majority of tax revenue comes in for operators and state coffers.

Additionally, a new form of sports betting will likely launch soon in the Tar Heel State.

In-Person Sports Betting on Its Way

The North Carolina Lottery Commission took the first step towards allowing the launch of in-person sports betting in the state. So far, only online sports betting has been live in North Carolina, with operators awaiting the green light to begin offering retail sports betting at licensed locations.

The commission today unanimously approved the necessary steps for operators to acquire their certificate’s of compliance to offer in-person sports betting.

Operators must meet with lottery commission staff, submit operations documents, undergo testing, receive lab certification, and pass an on-site inspection of their facility prior to launching retail sports betting.

There will be no universal launch date for retail sports betting, as the commission required for online sports betting. Each facility will be on their own to acquire the necessary certification of compliance and determine their own launch date, Carpenter revealed.

Eight facilities are eligible to host brick-and-mortar sportsbooks.

The PNC Arena in Raleigh, WakeMed Soccer Park in Cary, Bank of America Stadium and Spectrum Center in Charlotte, Charlotte Motor Speedway in Concord, North Wilkesboro Speedway, Sedgefield Country Club in Greensboro and Quail Hollow Country Club in Charlotte will be allowed to host sportsbooks at their locations.