Alabama set to lose significant tax revenue due to lack of sports betting during March Madness


Alabama set to lose significant tax revenue due to lack of sports betting during March Madness

Hundreds of millions of dollars will be wagered on the NCAA March Madness tournament this year, but unfortunately, none of this betting will be legal in Alabama. Illegal gaming is estimated to cost state governments over $13 billion in lost tax revenue annually. This raises the question of how much money is being wagered in other states on the tournament and how much taxable revenue Alabama is missing out on.

Louisiana saw sportsbooks make $148 million between July 2022 and March 2023, resulting in $27 million in paid taxes. In Mississippi, it was found that sportsbooks brought in $3.1 million in tax revenue in February 2023, increasing to nearly five million dollars in March due to the impact of March Madness.

Although gaming legislation proposed in the Alabama house initially included casinos and sportsbooks, the bill has since been significantly altered in the Senate. This has frustrated some lawmakers, such as House Representative Juandalynn Givan, who hear from constituents every year about the possibility of getting a lottery, casinos, and sports betting in Alabama. Givan expressed concerns about the state being behind the times and hopes that Alabama will eventually catch up.

The gaming bill is expected to return to the house in early April for further discussion and potential revisions. Alabama residents continue to watch closely to see if legalized gaming will become a reality in the state.

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