The majority of the money goes to Michigan school aid fund, while another large chunk goes into a state compulsive gambling fund that supports programs at the Department of Health and Human Services. There's a prevention fund for firefighters who had been getting afflicted with a type of cancer,” Schoch said. “The horse racing industry gets a little bit of that tax money. With potential for $200 million in annual state tax revenue- where does all that money actually go? I think that there's a little bit of industry belief that maybe the online casino numbers have already plateaued a little bit.” “I think the growth is going to be coming in the sports betting. “Sports betting has been about what we expected, but online casino certainly has been a lot bigger than what people expected,” Schoch said. Online sports betting is taxed at 8.4%, while online casino play is taxed on a scale that ranges from 20%- 28%. Online casinos and sports books have so far taken in roughly $483.1 million in the first six months of 2021. “And that's just crushing the projections of even the more optimistic ones that people had going into it,” Schoch told FOX 17 Wednesday afternoon. Looking at numbers for the period of January to June 2021, the state has already raised $87.8 million in state tax revenue, with an additional $34.7 million in local and tribal revenues. This is a state with a casino culture, but it's been huge,' said Matt Schoch, an analyst with PlayMichigan, a website that tracks the state's gaming industry.

Governor Gretchen Whitmer signed legislation all the way back in December 2019 that would eventually make online casino play and sports betting legal in Michigan.įinally launching at the end of January 2021, initial estimates predicted the state might see somewhere between $10,000,000 and $50,000,000 in annual tax revenue. Six months after online gambling and sports betting became legal and dozens of online platforms popped up, the state has racked up nearly $90 million in tax revenue.

Online gambling taxes michigan