North Carolina Reports Least Profitable Month of Sports Betting

• The North Carolina Lottery Commission reported $22.6 million in gross gaming revenues in July
• It was the least profitable month of sports betting in the state’s history
• Gross gaming revenues dropped nearly $36 million from June

North Carolina sports betting had its least profitable month since launching in March 2024.

The North Carolina Lottery Commission reported just $22.6 million in gross gaming revenues for July, leading to just a shade over $4 million in sports betting tax revenue for the month. July’s gross gaming revenue dropped by nearly $36 million from June’s total.

The July 2025 gross gaming revenue totals were nearly a $20 million drop from the July 2024 totals.

Declines All Around

The North Carolina Lottery Commission reported $361,541,492 in online sports betting handle for July, a nearly $59 million decrease from the June figures.

In total, the North Carolina Lottery Commission reported $22,679,993 in gross gaming revenue, which led to just $4,082,399 in total tax revenues for the month based on the state’s 18% sports betting tax rate.

It was the least profitable month of sports betting in the state’s history. Prior to this disappointing past month, August 2024 held the disconcerting record as it reported $33,747,320 in gross gaming revenue, which led to $6,074,518 in tax revenues.

July marks the start of the new fiscal year for the state. During the 2025 fiscal year, North Carolina reported $6.4 billion in total online sports betting handle, $647,693,353 in gross gaming revenue, and $116.6 million in sports betting tax revenues.

North Carolina Still Debating Sports Betting Tax Increase

North Carolina lawmakers are still considering an increase to the state’s sports betting tax rate from 18% to 36% in its next fiscal year budget.

Legislators are considering the increase in the state’s next fiscal year budget, but neither the House or Senate can agree to what else is included in budget. North Carolina Gov. Josh Stein (D) recently signed a stopgap budget into law this week while the state works without a full budget.

Members of the Senate introduced their two-year, more than $65 billion state budget in April, which included a 100% increase to the North Carolina sports betting tax rate. If approved, North Carolina’s new rate will increase from 18% to 36% of gross wagering revenue for sports betting operators. The rate would go into effect on Oct. 1, 2025.

The new rate will potentially put North Carolina near the top of the list for state sports betting tax rates. New York, New Hampshire, and Rhode Island feature the highest sports betting tax rates in the county at 51%, with Delaware next at 50%.

Illinois features a tiered sports betting tax rate that tops out at 40%. North Carolina would be aligned with Pennsylvania, which also taxes sports betting at 36%.