North Carolina’s online sportsbooks have been a big hit since going live in March, with a significant portion of the tax revenue generated going towards supporting the athletics departments of public universities in the state. House Bill 347 mandated that 13 state universities receive $300K annually in sports betting tax revenue, with additional funds allocated for gambling addiction education, youth sports programs, and regulatory expenses.
The North Carolina State Lottery Commission reported that bettors wagered over $2.23 billion on sports in the first few months of online sports betting, exceeding expectations. Gross revenue totaled $275.1 million, resulting in $49.52 million in taxes that will benefit the university athletics programs. Smaller schools are projected to receive $820K each, a significant increase from the base amount of $300K.
The state has issued online commercial sports betting licenses to seven operators, including popular platforms like DraftKings and FanDuel. Caesars Sportsbook also operates online in North Carolina through a partnership with the Eastern Band of Cherokee Indians. While larger institutions like N.C. State and UNC-Chapel Hill are not included in the tax distributions, the additional funding will provide a substantial boost to smaller schools’ athletics programs.
Overall, the success of North Carolina’s online sports betting market has not only provided a new source of revenue for the state but has also greatly benefited university athletics departments, enabling them to enhance facilities, recruit talent, and cover operational costs.
Source
Photo credit www.casino.org