Maine Sports Betting Generates More than $504K in Tax Revenue Since Launch

Dec 21, 2022; Columbus, Ohio, USA; Maine Black Bears guard Kellen Tynes (1) drives past Ohio State Buckeyes guard Tanner Holden (0) during the first half at Value City Arena. Mandatory Credit: Joseph Maiorana-USA TODAY SportsMaine has generated more than $504,000 in sports betting tax revenue since launching on Nov. 3The state reported $44.9 million in online sports betting handleDraftKings and Caesars are the only two sports betting operators in the state

In just a little over one month of live Maine online sports betting, the Pine Tree State has generated more than $504,000 in sports betting tax revenue.

Maine launched online sports betting on Nov. 3 nearly a year-and-a-half after Gov. Janet Mills (D) signed the bill into law in May 2022. The final sports betting rules were reviewed by the Maine Attorney General’s Office and were finalized by the Secretary of State in early November.

DraftKings and Caesars Sportsbook have been live in the state for 35 days.

DraftKings Dominating Maine Sports Betting

DraftKings and Caesars Sportsbook are the only two licensed online sports betting operators in the state.

The Mi’kmak Nation, Maliseet Tribe, and Penobscot Nation have all partnered with Caesars Sportsbook for their retail and online sports betting services. The Passamaquoddy Tribe announced in November it had agreed to a deal with DraftKings sportsbook.

After more than a month of sports betting, it’s clear that most customers are utilizing the DraftKings Sportsbook. DraftKings is dominating handle and tax ps so far when compared with Caesars Sportsbook as the state enters its second full month of betting.

Maine’s sports betting bill has set the tax rate at 10% of adjusted gross revenue for each sports betting operator.

In 35 days, DraftKings has generated the following numbers:

Handle: $36,591,705.47Adjusted gross revenue: $4,537,050.36Sports betting tax revenue to the state: $453,705.03

Caesars has generated the following numbers since launch:

Handle: $8,324,527.27Adjusted gross revenue: $505,389.44Sports betting tax revenue to the state: $50,538.94

In total, the Maine Gambling Control Unit reported $44,916,232.74 in online sports betting handle and $504,243.97 in tax revenue.

The tribes will control an estimated 85% of the sports betting market in the state, as online sports betting comprises the vast majority of all sports betting markets. The bill also included concessions to the tribes, such as tax relief and consultation rights with the state for issues that would directly affect their affairs.

The bill does not allow Maine sports bettors to place wagers on Maine colleges or esports of any kind.

A Multi-Year Process for Legalization

In 2021, Maine legislators approved bill LD 1352, which would have legalized statewide in-person and online sports betting. However, it was never brought to Mills for a signature and it never became law. The bill had a strange journey to approval, as its original sponsor Senator Louis Luchini (D-7) actually spoke up in the 2021 session and asked that legislators vote his bill down. Luchini originally wrote his bill as not having a tethering requirement for online sports betting, which became a controversial point of the betting plan.

Luchini’s original draft of the bill proposed a Maine sports betting plan that would open the state to an uncapped amount of online sports betting licenses that would not have to be tethered or partnered to a brick-and-mortar facility.

Tethering is “anti-competitive and anti-free market,” he explained during the 2021 session.