Arkansas Casinos See Increased Tax Contributions in 2025

A Year of Growth for Arkansas Casinos
The year 2025 marked significant growth for Arkansas’s casino industry, with all three major casinos reporting increased revenues compared to the previous year. This upswing in earnings also led to a rise in the tax income generated for the state.
Tax Revenue Highlights from Arkansas Casinos
Data from the Arkansas Department of Finance and Administration revealed that the combined tax revenue from the state’s trio of casinos reached $116 million in 2025. This amount represents a 5.4% increase over the figures recorded in 2024, indicating steady growth across all properties.
Southland Casino, located in West Memphis, was the largest contributor with $58.4 million in taxes, showing a 1.9% growth from the previous year. Its peak tax collection month was March, achieving $6.3 million. Conversely, September was the lowest month with $11.4 million.
Saracen Casino, positioned in Pine Bluff, experienced the most impressive increase of the year. Its tax contributions rose by 12.7% to a total of $30.4 million. The casino’s best month was May with $3.9 million collected, while September remained the weakest month, paralleling Southland’s dip, with just $2 million.
Oaklawn, known for combining casino gaming with horse racing, contributed $27.2 million in tax revenue, which is a 5.5% improvement. The highest monthly tax payments came in May with $3.2 million, and February was the slowest at $1.9 million.
The Department of Finance and Administration also noted strong sports betting activity, with the total wagering handle increasing by nearly $100 million to reach $655 million in 2025.
Allocation of Casino Tax Revenue in Arkansas
In Arkansas, casino operations are taxed at a standard rate of 13%; however, once a casino’s annual revenue surpasses $150 million, any additional revenue for that year is taxed at a higher rate of 20%.
State law mandates that 55% of the casino tax revenue is directed to the general revenue fund. An additional 17.5% supports the Arkansas Racing Commission, 8% is designated for the local county of the casino, and the remaining 19.5% benefits the city where the casino operates.
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