The experts at LouisianaBets.com have developed this guide to help you better understand the terms used when discussing Louisiana sports betting revenue and handle. The state releases those figures on a monthly basis.
Louisiana voters approved a constitutional amendment legalizing sports betting in November 2020. It allows for both in-person wagering at a brick-and-mortar sportsbook in a casino, or wagers through a mobile app or an online site.
Brick-and-mortar sportsbooks began opening on Oct. 31, 2021. Online sports betting launched Jan. 28, 2022.
There is one caveat to Louisiana that makes the state different than others that have legalized sports betting. It is only legal in the 55 parishes where voters approved the referendum. Neither in-person sports betting nor Louisiana sportsbook apps are legal in the other nine parishes.
The month of October was one to remember for Louisiana sportsbooks, with record-breaking total handle and sports betting revenue in the Bayou State.
Overall, Louisiana sportsbooks took in $308,613,008 in total handle during October, up 10.2% from September ($280,093,549) and knocking off January of this year for the largest total in state history ($282,369,901).
As far as sports betting revenue was concerned, Louisiana sportsbooks took in $42,462,771 in October, which beat September’s record figure of $41,818,991. Of that figure, $36,082,807 came from online wagers, while the other $5,736,184 in revenue was generated by retail sportsbooks.
The state’s sports betting tax take wound up at $5,319,894 in October, which represented a 0.03% increase from September’s total of $5,318,554. Through the first 10 months of the year, Louisiana sportsbooks have taken in a total handle of just under $2.2 billion. As far as revenue is concerned, Louisiana sportsbooks have taken in $279.298 million in wagering revenue through 10 calendar months, averaging out to just under $28 million per month.
Bettors in Louisiana wagered $2.3 billion on sporting events in 2022, and $1.96 billion in bets were placed online.
Louisiana taxes online and in-person sports betting differently. In-person sportsbooks pay a 10% tax on their revenues. Online operators pay a 15% tax. However, operators are allowed to deduct promotional spending from their tax liability, and they may also carry forward any losses to offset future revenue.
Louisiana releases its monthly sports betting reports in the following month (i.e., January’s data is released in February, etc.).
A quarter of the revenue generated by the sports betting tax, up to $20 million annually, goes to early childhood programs in Louisiana, and 10% is allocated for local governments. Funding is also set aside for a horse racing supplemental purse fund (2.5%), a disability affairs trust fund (2%, up to $500,000) and a behavioral health fund (2%, up to $500,000). The remainder goes to Louisiana’s general fund.
The Louisiana Gaming Control Board is responsible for establishing the rules for sports betting and licensing operators.
Mobile sports betting is defined as the amount of money wagered through apps on mobile devices or online websites. Mobile wagering started in Louisiana in January 2022. Mobile and online wagering is by far how most Louisiana bettors participate in sports betting. In 2022, the state’s eight online operators accounted for more than 85% of the handle. Many mobile operators offer Louisiana sportsbook promos to their customers.
The handle is the amount of money bettors wagered for a specific period. This adds up to hundreds of millions each month in the Bayou State. The revenue is what sportsbooks retain after paying out winning wagers. Operators reported more than $189 million in sports betting revenue for 2022.
References: Louisiana Gaming Control Board
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