Pending final voter approval, the betting practice could be legal as soon as December.
Key Points:
- Voters in the state of Missouri look set to approve sports wagering in a variety of forms in the state
- Revenue would be set to be taxed at 10%, with the potential for the practice to be open to punters by 5 December
- An additional proposed amendment for an additional gambling boat licence was unsuccessful
Sports Wagering Legislation In Missouri
Substantial election news has come out of the US, as Missouri voters are on course to approve changes to the state law to allow sports wagering to become a fully regulated and legal practice as per the ‘Amendment 2’ ballot.
Specifically, the ballot proposed amendments to the Missouri state constitution that would allow licensed online sports betting, gambling boats, sports betting districts, operators and mobile licences. In accordance with federal law, persons under the age of 21 will remain prohibited from participation. At present, the voting process is not yet closed, however sports wagering in the state will be passed if voters continue on their current trajectory.
Revenue And Taxation Details
As detailed by the Missouri Gaming Commission, revenue generated from sports wagering will be taxed at a rate of 10%, with the potential allowance of deductions for promotional offers and federal taxes ahead of state revenues. Tax revenue will also be utilised to support the state’s Compulsive Gambling Prevention Fund.
Timeline For Implementation
Newly approved constitutional amendments can be passed into law 30 days after their approval in Missouri. Therefore, sports wagering in the state could be live as early as 5 December 2024.
Economic Impact And Predictions
Good to know: PlayAGS just received licence to operate within the state of Missouri
Various Missouri government institutions estimate annual costs to the state of around $5.2m; however, they also estimate an initial licence fee revenue of $11.75m. The same state government entities predict that tax revenue is estimated to reach as high as $28.9m annually. Further, an economic study put together for Winning for Missouri Education predicts a figure of $21.8bn will be wagered in the state during the initial five years of legislation – with 98% of bets being made online.
Additional Legislation Denied
Amendment 5, an additional proposed piece of legislation which would allow one additional gambling boat licence along a specific portion of the Osage River, however, was denied.
It has been a long road to regulated sports betting in Missouri, with a proposal for legalising the practice failing back in 2019. Then, again in January 2021 discussions around the illegal sports wagering resurfaced, with the debate then being renewed again in January of 2022.
