Bettors wagered more than $575 million in September alone, which doubled the state’s tax revenue from the previous month, collecting over $12 million.
This marked the state’s third-highest betting handle since the inception of legal NC sports betting in March 2024, trailing only March ($659 million) and April ($648 million).
The return of football, particularly the NFL and NCAA seasons, significantly reinvigorated the state’s sports betting landscape, reversing a three-month slump where wagers dipped below $400 million each month.
Football Carries North Carolina Sports Betting
Football, known for its unparalleled popularity in the sports betting world, played a central role in this resurgence. The return of both the NFL and NCAA football in early September provided bettors with ample opportunities to place bets, leading to one of the most active betting months since the market’s launch.
“North Carolina bettors welcomed the return of football with lots and lots of wagers,”
a recent report noted, emphasizing how the sport’s strong appeal continues to be the primary driver of betting activity in the state.
The impressive numbers from September underscore just how much the state’s sports betting market has grown since going live.
Since its March 2024 launch, the state has accumulated more than $75 million in taxes, thanks to an 18% tax rate on gross gaming revenue. September alone saw $538 million in paid wagers, making it the second-highest month for real-money betting in North Carolina, trailing only April’s $569 million.
These results reflect the pent-up demand for football betting after the quieter summer months.
One factor that continues to stand out in North Carolina’s sports betting structure is its robust tax framework. The state’s 18% tax rate on sports betting revenue places it at No. 11 among 27 comparable states.
While this rate isn’t as high as states like New York, New Hampshire, and Rhode Island, where tax rates sit at an eye-popping 51%, it still ensures that the state collects significant revenue while maintaining an attractive environment for sportsbook operators.
The state collected $62 million in tax revenue from sports betting since its launch, surpassing original financial forecasts. Lawmakers had projected $36.1 million in tax revenue for fiscal year 2025, but the state exceeded those expectations within just a few months, generating $49.5 million between March and June alone.
Impact of Tax Revenue and Future Outlook
The tax revenue generated from sports betting is put to good use in North Carolina, with a portion allocated to several key areas, including the state’s General Fund, collegiate athletic departments, and a new
“North Carolina Major Events, Games, and Attractions Fund.”
This distribution supports job creation and investments throughout the state. Additionally, as the fiscal year continues, projections suggest that tax revenues from sports betting could reach approximately $188 million by the end of FY 2025.
One of the more significant developments on the horizon for North Carolina is the upcoming expansion into retail sports betting. Currently, all sports wagers in the state are placed online, but the North Carolina Lottery Commission is taking steps to introduce in-person betting options.
Eight locations have been identified as eligible to host retail sportsbooks, including prominent venues like PNC Arena in Raleigh and Bank of America Stadium in Charlotte. This expansion promises to further boost the market as it taps into the in-person betting audience, allowing for even more engagement with sports betting fans.
