The tax income generated by sports activities betting in Colorado greater than doubled final fiscal 12 months to about $25.6 million, which means much more cash will likely be accessible for state water initiatives.
The haul, collected from July 1, 2022, by means of the tip of June, was a 106% improve over the earlier fiscal 12 months, based on the Colorado Division of Income. The state’s sports activities betting tax income within the 2021-22 fiscal 12 months was $12.4 million.
The massive improve was anticipated within the 2022-23 fiscal 12 months after the legislature handed a invoice in 2022 limiting the variety of free bets that sports activities betting operators may supply beginning Jan. 1, 2023.
Colorado imposes a ten% tax on casinos’ web sports activities betting proceeds. A free guess doesn’t generate any proceeds.
The Workplace of State Planning and Budgeting in Gov. Jared Polis’ workplace predicted that the 2022-23 fiscal 12 months sports activities betting tax can be $24.1 million, so expectations had been surpassed.
Proposition DD, the 2019 poll measure permitted by voters legalizing sports activities betting, directed the state to spend virtually all the tax income generated by sports activities betting tax on the Colorado Water Plan. The plan contains initiatives aimed toward getting ready Colorado for a rising inhabitants in a hotter, drier local weather.
When Proposition DD was drafted, nonpartisan legislative analysts anticipated Colorado to make about $16 million annually in new tax income. The state is permitted to gather as much as $29 million in sports activities betting tax income yearly below the Taxpayer’s Invoice of Rights earlier than the legislature should both refund the surplus or ask voters to let the state exceed the cap.
Greater than $310 million in sports activities betting wagers had been positioned in Colorado in June, all however $2.4 million made on-line. That was down from $385 million in Might, when the Denver Nuggets received their first NBA title.
In November 2022, there have been $552.6 million in sports activities wagers positioned in Colorado, whereas in January there have been $547.2 million in bets.
There have been greater than $13 billion in sports activities wagers made in Colorado since authorized sports activities betting started in Might 2020. Basketball has been the highest sport wagered on, at greater than $3 billion.
See the chart under for a breakdown of how a lot was wagered in Colorado by sport from Might 2020 by means of April 2023: