BetRivers Raises Minimum Bet in Illinois Amid New Tax Challenges
BetRivers Increases Minimum Betting Amount in Illinois
BetRivers has raised its minimum online sports bet in Illinois to $5. This marks the second increase within a year, reflecting how new local and state tax policies are reshaping the betting market. These regulations have made it more costly for operators to offer low-value bets, prompting significant adjustments in sportsbook operations.
Illinois’ Per-Bet Tax Leads to Reduced Bet Volume
Last summer, Illinois introduced a per-ticket fee requiring sportsbooks to pay $0.25 for every bet they take, doubling to $0.50 for those processing over twenty million bets annually. Since this fee is applied regardless of wager size, it has significantly increased costs related to small bets. Industry data shows that operators have paid tens of millions in these fees, coinciding with a substantial decline in the total number of bets placed across the state.
The impact varies by operator. BetRivers, which attracts many casual bettors with smaller wagers, has experienced one of the steepest drops, with its bet volume decreasing by roughly one-third to 2.8 million bets. Initially, the company raised its minimum bet to $1 but has now increased it further to $5 to manage the fixed costs imposed by the fee.
Additional Tax Burden from Chicago Intensifies Challenges
In addition to the state fee, Chicago has introduced its own tax at the start of the year, taking 10.25% of sports betting profits made within city limits. Operators must also obtain city permits, adding to operational expenses. While BetRivers has continued operating under these conditions, several major sportsbooks challenged the city’s policies legally but withdrew requests to halt enforcement after securing licenses, though they continue to contest the rules in court.
Varied Responses Among Illinois Sportsbooks
Other sportsbooks in Illinois have adopted different strategies to comply with new taxes. Circa has increased its minimum bet to $10, the highest in the state. BetMGM requires at least $2.50 per bet, and Hard Rock has set a $2 minimum. Meanwhile, operators like FanDuel, DraftKings, Caesars, Fanatics, and bet365 have maintained lower minimum bets but imposed additional fees on each wager.
Despite the reduction in low-value bet frequency, the overall betting volume in Illinois has grown, resulting in increased tax revenue for the state.
