The Arizona Department of Gaming just released the second draft of rules surrounding Arizona sports betting.
The first draft was released in June and underwent virtual public comment sessions. Another session is scheduled for Wednesday, July 7. This time, the session might draw in more stakeholders since the draft now has more information regarding tax rates and licenses fees.
New Draft Details
In the new set of rules and regulations, the ADG included the tax rate, which ends up being one of the most industry-friendly tax rates.
Arizona has separated the rate between retail sportsbooks and mobile apps.
Retail sportsbooks tax rate: 8%
Sportsbooks apps tax rate: 10%
In addition to the good news on the tax rate, the draft also includes helpful information surrounding the cost of licenses in the state.
Application fee: $100,000
License fee: $750,000
Annual renewal fee: $150,000
Next Steps For Arizona Sports Betting
After the public comment session on July 7, the ADG should be able to have a better grasp on getting the final draft of Arizona sports betting rules and regulations in place so that there is plenty of time for approval before the launch date of September 9.
As of now, the ADG says it is on pace for sports betting to launch on the expected date, just in time to place bets on the new NFL season.
More sportsbooks are also expected to join the Arizona sports betting market, with two new partnerships announced in recent days.
WynnBet partnered with San Carlos Apache Tribe and Bally’s Corporation announced a partnership with the Phoenix Mercury.
A total of 20 sportsbook licenses are allowed across the state. The Phoenix Suns have already created a partnership with FanDuel and the Arizona Diamondbacks have partnered with Caesars Sportsbook. DraftKings is also offering sports betting in Arizona through its partnership with the PGA and TPC Scottsdale.
This means that the Arizona Cardinals and the Arizona Coyotes still have time to form a partnership, in addition to a number of casinos in the state.