DraftKings is joining FanDuel in trying to get around Illinois’ new tax on gambling operators. Sportsbooks are to be charged for each bet made, starting with 25 cents per the first 20 million bets and 50 cents thereafter.
This has obviously ruffled feathers within the sportsbook world, as Illinois cracks down on operators to begin funding further projects in its budget. The move is expected to drive taxation to tens of millions of dollars more than previously, with it hitting almost 60%, with DraftKings’ CEO Jason Robins irritated at the move:
“We are disappointed that Illinois policymakers have chosen to more than triple our tax rate over the past two years, and we are very concerned about what this will do to the legal, regulated industry.
“Meanwhile, Illinois continues to fuel the rapidly growing illegal industry, which pays no taxes or fees and provides none of the consumer protections that regulated operators offer.”
In the last quarter of 2024, DraftKings earned $1.393 billion, and is expecting between $6.3 and $6.6 billion in total for 2025. DraftKings and similar apps like FanDuel have exploded in popularity over the last couple of years, especially as more states open up sports betting online.
DraftKings brings in 50-cent charge & angers players
The new 50-cent additional fee won’t affect other states with online sportsbooks, and DraftKings has said that if the charge is dropped, it’ll drop it on their end too. It won’t come into effect until September, with the budget as a whole set to be signed off on in the coming weeks.
Over on X, previously Twitter, the reaction hasn’t been great. One account, “The Degenerates”, a “professional sports betting” analyst account, has called DraftKings’ decision “theft.” However, it seems that Illinois hasn’t been the target of criticism as we previously reported, and instead theorized by “The Degenerates”, the professional sportsbook analysts, that it’s a move to see “how much they can get away with in the future.”
“The Cannoli King” also hadn’t gotten the memo that FanDuel was also going to implement a similar charge.
Other players have expressed their disappointment in Illinois’ decision elsewhere on the social media site.
