Ohio Sports Betting Tax Hike Proposed, Added Revenue Would Benefit Stadiums, K-12 Athletics
Posted on: April 17, 2026, 04:38h.
Last updated on: April 17, 2026, 04:38h.
- A lawmaker in Ohio wants to increase taxes on sportsbooks
- The proposed 2% sports betting tax hike would help sports venues and K-12 athletics
Legislation in Ohio seeks to increase the state’s tax on sports betting revenue by 2%.
Ohio State Sen. Louis Blessing, III (R-Colerain Township) has proposed Senate Bill 199. The statute suggests raising the state’s gaming tax on gross sportsbook revenue from 20% to 22%.
Blessing’s bill calls the 2% take hike a “privilege fee.” Money raised from the 2% tax imposition would support interscholastic athletics and “other extracurricular activities for primary and secondary school students.” But the bulk of the extra sports betting tax money would be allocated for the Sports Venue Redevelopment Fund, which is to be used to “support the renovation or construction of Ohio sports facilities.”
Blessing believes a 2% tax increase on sports betting could generate an additional $200 million in state revenue annually.
If we really do put school funding to bed for the foreseeable future, it’s a public good,” Blessing said in an interview with the Ohio Capital Journal. “And people forget that school funding is, in fact, property tax relief.”
Ohio sportsbooks reported record revenue last year, with gross win topping $1 billion on more than $10 billion in wagers placed.
Ohio Sports Betting in Focus
Blessing’s sports betting bill comes as the future of the sports wagering industry in Ohio remains in jeopardy. Gov. Mike DeWine (R) has deep remorse about signing sports betting into law in 2021, saying it’s perhaps his biggest “mistake” he’s made during his seven years in office.
Earlier this month, a group of conservative lawmakers filed a bill called the “Save Ohio Sports Act” that seeks to greatly overhaul the sports betting industry in the state.
Reps. Riordan McClain (R-Upper Sandusky), Gary Click (R-Vickery), Jonathan Newman (R-Troy), and Kevin Ritter (R-Marietta) have proposed limiting sports betting to only the state’s four casinos. Online sportsbooks would become prohibited, bettors would be limited to eight wagers a day, and bets would be capped at $100.
Blessing wants to keep Ohio’s sports betting market in its current environment, but for the state to get a larger piece of the revenue. State Sen. Bill DeMora (D-Columbus) opposed Blessing’s bill on concerns that the sportsbooks will pass the tax hike to consumers by tightening their odds and promotions.
“If you have more taxes on it, you’re going to get less payout,” DeMora said. “Everybody assumes that when you tax more, you’re going to get more.”
Blessing countered that the sportsbook market is competitive, and to keep customers, books must offer competitive odds. It’s therefore his belief that companies like DraftKings and FanDuel will primarily eat the 2% tax.
Ohio Sportsbooks
Along with the four casinos, retail sportsbooks are available at Ohio’s seven racetrack casinos. There are also dozens of sportsbook kiosks inside restaurants and bars that allow bettors to make wagers through the Ohio Lottery’s UBetOhio Sportsbook.
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