New York Sports Betting in May Tops $1 Billion Again And All-Time Tax Revenue Surpasses $1 Billion Mark

Once again in May, New York online operators took in more than $1 billion in wagers in a single month. The just-released report for May 2023 sports gaming from the New York State Gaming Commission reveals that $1.35 billion in bets were accepted online last month.

The state’s nine online sportsbooks generated $151.9 million in gross gaming revenue in May, which resulted in $77.5 million in tax revenue for the state.

That means New York sports betting has now passed the $1 billion mark in tax revenue for all time. Only two other states, New Jersey and Nevada, have reached that amount in taxes from sports betting, though not all of it via online sports betting.

$1 billion month puts New York as a top three sports betting state

This marks the ninth consecutive month of total sports betting handle of at least $1 billion in New York, which sets a record for the sports betting industry in the United States. Since it launched mobile sportsbooks in January of 2022, New York’s operators have taken in more than $22 billion in wagers, making them one of only three states to top $20 billion in lifetime total handle. That tremendous sports betting activity has resulted in more than $2 billion in GGR.

Tax revenue from mobile sports betting is mostly allocated to the New York education aid fund. Annually, $5 million is earmarked for sports programs for underserved youths, and $6 million to pay for responsible gambling education and treatment.

In the Apr 2022 to Mar 2023 fiscal year, New York received $743.9 million in tax revenue. The state’s 51% tax rate on GGR is the highest in the country.

FanDuel and DraftKings Combine for More than $1 Billion of New York Sports Handle in May

The two heavyweight hitters in the industry, FanDuel and DraftKings remain at the top of the heap in New York mobile sports betting. In May, the two sportsbooks combined for $1.03 billion of the $1.35 billion total handle. That’s a staggering 77% of the market.

Online Sportsbooks Total Handle in New York, May 2023

The New York mobile sportsbooks have utilized promos like welcome bonuses, deposit matches, and first-bet bonus bets to lure customers. But, it’s obvious that sports betting is popular with many fans in the state, seeing as how the New York sports betting revenue numbers continue to grow and churn along month after month, with existing and new customers in the mix.

In 15 of the 17 months that New York has had online sports betting, the total handle, which represents all money placed on bets, has topped $1 billion.

As DraftKings and FanDuel and a few other competitors continue to dominate the NY online sports betting market, they also received welcome news last month when they learned that the NYS Gaming Commission will not ban the use of third-party affiliate advertisers in their marketing efforts.

ALSO: New York Set to Pass $1 Billion Mark in Tax Revenue (April Sports Betting Report)

About the Author

Dan Holmes

Dan Holmes is a writer for NY Sports Day. He has also written three books about sports. He previously worked for the National Baseball Hall of Fame and Major League Baseball. He enjoys writing, running, and lemon bars. He lives near Lake Michigan with his daughters and usually has an orange cream soda nearby.

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