Arizona Sports Betting Revenue, Handle, and Taxes
Arizona Gambling Trends
Arizona Sports Betting Data
| Month | Handle | Handle Per Capita | Revenue | Hold | Taxes |
| November 2023 | $713,586,704 | $202 | $42,333,282 | 5.9% | $2,023,887 |
| October 2023 | $648,208,573 | $183 | $56,868,981 | 8.8% | $3,287,799 |
| September 2023 | $610,716,285 | $173 | $60,115,066 | 9.8% | $3,243,222 |
| August 2023 | $358,875,474 | $101 | $31,681,151 | 8.8% | $2,128,096 |
| July 2023 | $323,211,485 | $91 | $35,343,495 | 10.9% | $2,678,598 |
| June 2023 | $393,198,858 | $111 | $28,331,608 | 7.2% | $1,633,356 |
| May 2023 | $451,717,025 | $128 | $49,458,507 | 10.9% | $3,376,059 |
| April 2023 | $535,712,027 | $151 | $49,163,323 | 9.2% | $3,429,846 |
| March 2023 | $644,763,991 | $182 | $53,523,947 | 8.3% | $3,704,268 |
| February 2023 | $609,278,096 | $172 | $35,412,452 | 5.8% | $1,609,581 |
Arizona Sports Betting Revenue
Arizona joined the parade of states embracing sports betting when Governor Doug Ducey signed a bill making it legal on April 15, 2021. Both online and retail sportsbooks opened for business in the Grand Canyon State on September 9, 2021. Arizonans celebrated immediately as more than $5 billion was wagered in the first year. Now, Arizona residents have 17 sports betting sites and more than a dozen retail sportsbooks to choose from.
Arizona sports betting revenue from September 2021 on is over $829 million. Meanwhile Arizona sports betting handle surpassed $6 billion in 2022 and Arizona sports betting handle for 2023 through April is over $2.3 billion. The total Arizona sports betting handle has now surpassed $10 billion.
Arizona has the Coyotes, Diamondbacks and Cardinals, as well as the Phoenix Suns, along with Arizona and Arizona State college football and basketball. Having several pro sports franchises in the area helps with consistent betting interest. All of the sports betting industry’s leaders are present in the state as well, including DraftKings, FanDuel, Caesars and BetMGM.
Below, we discuss Arizona sports betting taxes and Arizona sports betting revenue by state, as well as detail Arizona sports betting revenue and Arizona sports betting hold to show you how the state has fared financially since legalized sports betting launched.
Arizona Sports Betting Taxes
Sports betting taxes are of great importance to bettors, who obviously want to keep as much of their winnings as possible. The AZ sports betting tax rate currently stands at 10% on operator sports betting revenues. This is well below the national average of 19%. The Arizona sports betting tax rate percentage of 10% is the same as Colorado, Kansas, Maine, West Virginia, Wyoming and Washington, D.C. Only Indiana, Iowa, Michigan, Nevada and Tennessee have a lower tax rate percentage.
Arizona sports betting taxes have generated more than $46.5 million to date. As long as the Arizona sports betting tax rate stays beneath the national average, Arizona bettors will continue to generate significant revenue for Arizona sports betting taxes. This also means that Arizona sports betting revenue has consistently been healthy since the trade was legalized.
Arizona Sports Betting Handle
Sports betting handle refers to the total amount of money that has been wagered by a specific population. Nationally, people are betting regularly on sports. The sports betting handle for the entire country in 2022 was over $93.7 billion, which was more than $36 billion more than 2021. The national 2023 sports betting handle through May was already at $40 billion. Sports betting continues to grow and grow and Arizona sports betting revenue by state is impressive.
The most recent Arizona sports betting handle came in at just over $535.7 million for April 2023. That was $109 million lower than March 2023, but about $23 million more than March 2022. Arizona sports betting handle for 2022 surpassed $6 billion. Total Arizona sports betting handle has now topped $10 billion since sports betting launched in the Grand Canyon State in September 2021.
Arizona Sports Betting Handle Per Capita
Arizona is currently the 14th largest state in terms of population with just over 7.35 million residents. The Arizona sports betting handle per capita in 2022 was $820, placing it 5th overall for states with legalized sports betting. Per capita in this sense is the annual sports betting handle of a state divided by that state’s population.
Arizona Sports Betting Hold
Sports betting hold is defined as the percentage of money that a sportsbook keeps for every dollar wagered by users. For example, if a sportsbook has a monthly handle of $10 million and a revenue of $2 million, that means they paid out $8 million in winnings. That also means that the hold would be 20%.
Through four months of 2023, the Arizona sports betting hold percentage is 7.83%, which is a little bit lower than the Arizona sports betting hold percentage from 2022, which was 8%. The Arizona sports betting hold for 2023 is significantly lower than the national average, which is 9.05% year to date. The Arizona sports betting hold percentage was lower than the national average in 2022 as well, as that 8% was lower than the national average by .10%.
FAQs
Yes, Arizona sports betting taxes are imposed on all Arizona residents who participate in and win in sports betting. They have to pay the Arizona sports betting tax rate of 10% on all winnings.
The Arizona sports betting handle for the first four months of 2023 totals $2,380,974,907 for an average of $595,243,727 per month.
The Arizona sports betting hold through the first four months of 2023 was 7.83%. The Arizona sports betting hold for all of 2022 was 8%. Both of these percentages are lower than the national average for the same time periods.
Arizona sports betting revenue has surpassed $829,576,877 to date.
Thanks to Arizona sports betting taxes and a below national average Arizona sports betting tax rate of 10%, the state has made more than $46.5 million since the launch of legalized sports betting in the state in September 2021.