During 2021, Michigan’s first year with online sports betting, Michigan sportsbook apps raked in a grand total of $3.7 billion in handle. Of that, operators together earned a total of $292.2 million in gross receipts and kept $110.6 million in adjusted receipts. They paid out $7.3 million in taxes to the state and $4.1 million in taxes to the City of Detroit.
Online casinos brought in a total revenue of $1.114 billion for 2021, keeping $1.003 billion in adjusted revenue and paying out $201.7 million in taxes to the state along with $55.4 million to the City of Detroit.
Retail casinos in Detroit – MGM Grand Detroit (BetMGM), MotorCity Casino (FanDuel), and Greektown Casino (Barstool) – brought in a total of $1.267 billion in revenue for 2021. This was more than double the amount for 2020, but less than 2019’s record of $1.454 billion.
Michigan Combined Online Sports Betting And Casino Tax Revenue 2022
Michigan online gambling platforms brought in $209 million in taxes to the state and $59.5 million to Detroit in 2021. There has been a steady increase in monthly tax revenue since June. Online casinos paid out the majority of that tax revenue as usual, representing nearly 98% of that total figure.
Michigan’s online casino industry paid $201.7 million in taxes to the State of Michigan along with $55.4 million to the City of Detroit, with a stable average of between $17 and $20 million per month to the state and between $3 million and $5 million to the city.
Michigan’s mobile sports betting industry paid out $7.3 million in taxes to the state and $4.1 million to Detroit in 2021, with upward growth and November representing the most profitable month for sportsbook operators thus far.
Michigan Monthly Online Sports Betting Handle 2022
Betting handle represents the total of all wagers placed at Michigan’s online sportsbooks for the month. For 2021, sports betting apps in Michigan took in a total of $3.7 billion in handle.
In December, Michigan’s online sportsbooks earned $484.6 million in sports betting handle, improving upon November’s record of $473.8 million, according to figures released by the Michigan Gaming Control Board. September saw a total handle of $354.3 million, which was $5 million away from the previous all-time high. This was an 82.4 percent increase from August.
Throughout spring of last year, Michigan online sportsbooks were raking in more than $235 million fairly consistently. Summertime figures saw a dip with a slight increase in August at $192,283,791 received in total bets. Since then, total handle numbers have been climbing again.
DraftKings Sportsbook, BetMGM, FanDuel Sportsbook continue to thrive as the most popular choices for online sports betting in the Wolverine State. Together, they accounted for more than 75% of the total handle in 2021.
DraftKings Sportsbook (Bay Mills Indian Comunity) saw the highest online betting handle at over $126.3 million in November. FanDuel sat at $115.2 million followed by BetMGM at $110.4 million for November.
Michigan Monthly Online Sports Betting Revenue 2022
While handle marks the total amount of all bets placed, revenue comes from the amount won by the sportsbooks. Total revenue for 2021 came in at $292.2 million and adjusted revenue came in at $110.6 million.
The Michigan Gaming Control Board defines revenue as “Adjusted Gross Sports Betting Receipts.” That figure comes from Gross Sports Betting Receipts minus promo credits (welcome bonuses, pre-launch offers, and other free betting credits awarded to players).
Michigan’s sports betting brands utilized an aggressive customer acquisition strategy leading up to the January 2021 launch. All ten of the mobile sportsbooks that went live on day one offered pre-launch bonuses and new player promotions in some form.
With those promo credits subtracted from the Gross Sports Betting Receipts, Michigan’s mobile sportsbooks posted net revenue losses in both January and February. That figure moved into the black in March and remained there, with some fluctuation, through the summer.
December revenue numbers totaled $34.8 million, slightly down from November’s $54.1 million and October’s $24.3 million. September came in at $23.7 million, but operators paid out a significant amount of their total revenue in the form of NFL and college football related bonus offers, so the adjusted revenue came in at just $17,399. October followed with an adjusted revenue of $4.7 million and then a landslide record of $34.5 million in adjusted revenue for November.
Michigan Online Sports Betting Tax Revenue December 2021
|MI Sportsbooks||Casino Partner||Online Betting Handle||Gross Sports Betting Receipts||Adjusted Gross Sports Betting Receipts|
|DraftKings Sportsbook||Bay Mills Indian Community||$126,338,133||$13,123,232||$8,737,348|
|FanDuel Sportsbook||MotorCity Casino Hotel||$115,238,268||$20,123,266||$15,066,744|
|BetMGM||MGM Grand Detroit||$100,840,842||$13,720,135||$9,538,206|
|Barstool Sportsbook||Greektown Casino Hotel||$41,295,605||$4,794,739||$4,301,937|
|Caesars Sportsbook||Grand Traverse Band of Ottawa and Chippewa Indians||$37,849,972||$3,474,688||$864,297|
|PointsBet||Lac Vieux Desert Band of Lake Superior Chippewa Indians||$27,118,860||$1,636,392||-$303,904|
|WynnBET||Sault Ste. Marie Tribe of Chippewa Indians||$5,927,655||$393,828||$284,874|
|FOX Bet||Little Traverse Bay Bands of Odawa Indians||$5,925,042||$514,418||$377,112|
|BetRivers||Little River Band of Ottawa Indians||$5,454,391||$529,442||$236,276|
|TwinSpires||Hannahville Indian Community||$2,336,173||$155,282||$19,272|
|FireKeepers Sportsbook||Nottawaseppi Huron Band of Pottawatomi Indians||$1,457,351||$111,708||-$64,845|
|Golden Nugget Sportsbook||Keweenaw Bay Indian Community||$1,391,496||$39,140||$67,684|
|Four Winds Sportsbook||Pokagon Band of Potawatomi Indians||$859,294||$281,304||-$242,608|
*Tribal casinos pay 8.4% state tax; commercial casinos pay 5.88% state tax and 2.62% city tax
In 2021, Michigan sportsbook operators, together, paid out $7.3 in taxes to the state and $4.1 million in taxes to Detroit.
In November, the State of Michigan collected a total of $1.6 million in taxes from online sportsbooks. Combined with sports betting tax revenue from the three Detroit casinos, this figure rose to more than $2.5 million.
Tax revenue collected from Michigan online sportsbooks has been on an upward trajectory since launch, with November nearly doubling the previous record of $927,575 set in June.
Sportsbook operators only pay state tax on net positive annual revenue, which explains why most of the state’s online operators have a zero in the State Tax column. Many of Michigan’s 15 mobile sports betting operators are still in the red, as customer acquisition promos have led to negative revenues for many of the state’s sports betting brands.
Michigan Monthly Online Casino Tax Revenue 2022
The state taxes online casino revenue using a tiered system, and all mobile casino operators pay somewhere in the range of 20-28% for Internet Gaming State Tax Payment. In December, Michigan’s 15 mobile casinos combined to produce $22.6 million in state tax revenue and $5.9 million in revenue for the City of Detroit. Each month, over the last six months of 2021, produced between $17 million and $20 million in tax revenue for the state and between $3 million and $5 million for Detroit.
In 2021, Michigan’s online casinos generated $201.6 million in tax revenue for the state and and $55.28 million in tax revenue for Detroit.
Michigan Monthly Online Casino Revenue 2022
Michigan’s 15 online casinos generated a combined $109,694,214 in the month of December. For the entire year, online casinos together produced $1,003,453,761 in adjusted revenue.
Michigan Online Casino Revenue By Operator December 2021*
|MI Online Casinos||Casino Partner||Gross Receipts|
|BetMGM||MGM Grand Detroit||$40,116,304|
|DraftKings Casino||Bay Mills Indian Community||$16,833,593|
|FanDuel Casino||MotorCity Casino Hotel||$16,784,717|
|BetRivers||Little River Band of Ottawa Indians||$7,041,412|
|Golden Nugget||Keweenaw Bay Indian Community||$5,806,911|
|WynnBET||Sault Ste. Marie Tribe of Chippewa Indians||$4,154,309|
|Barstool Casino||Greektown Casino Hotel||$4,647,188|
|PokerStars Casino||Little Traverse Bay Bands of Odawa Indians||$2,543,796|
|Caesars Casino||Grand Traverse Band of Ottawa and Chippewa Indians||$2,376,566|
|Parx Casino||Parx Interactive||$2,371,632|
|Pala Casino||Pala Interactive||$1,452,859|
|TwinSpires||Hannahville Indian Community||$1,408,985|
|FireKeepers Casino||Nottawaseppi Huron Band of Pottawatomi Indians||$1,253,308|
|PointsBet Casino||Lac Vieux Desert Band of Lake Superior Chippewa Indians||$801,055|
*Online casino revenue taxed at 20-28% based on earnings
BetMGM Casino accounts for approximately 37.3% of all revenue produced by Michigan’s online casinos in 2021. The online gaming extension of MGM Grand Detroit has produced more than $260.6 million in revenue in 2021. Their tax revenue has now surpassed the $50 million mark for the year. FanDuel has the second-highest online casino revenue at $119.7 million with tax revenue at nearly $23 million (third-highest).