iGaming in Illinois could generate $1.7 billion

If the Legislature passes an online gambling bill that was introduced in Illinois, the state could generate US$1.7 billion in the first five years.

US.- Illinois could get more than US$1.7 billion if the state legalises online gaming. The information was revealed earlier this month in a report conducted by Chris Grove, Online Poker Report and PlayUSA.

As the information reveals, Illinois could collect the tax revenue that it needs from the online gambling market. On the last day of May, the Senate approved HB479, which sets conditions to legalise both daily fantasy sports and online gaming platforms. But right after it was passed, the House ended its session, which started again on June 8.

The report establishes that the online gambling market in the state could generate approximately US$280 million in revenue in its first year of being legalised, most of it coming from online casino games and online poker. Moreover, Grove thinks that the market could offer at least 13 licenses during that year, and each operator would have to pay a US$10 million tax prepayment in order to obtain one. Nevertheless, it is also expected that the tax would negatively affect the industry, as it would lower the revenue during the second year to US$138 million.

On the other hand, daily fantasy sports could generate up to US$175 million in the first five years. HB 479 specified that companies that gather over US$1 million would pay 5 percent of total gross revenue; those that exceed US$1 million up to US$3 million would pay 7.5 percent of gross revenue; for gross revenues from US$3 million to US$8 million, operators would pay 10 percent of it, and finally, when they gather over US$8 million they would pay 15 percent of gross revenue.