Michigan Online Gaming Revenue Falls 10.9% Month-on-Month in January

The Michigan Gaming Control Board (MGCB) reported that online casino contributed $298.3 million to January’s gross revenue total, while sports betting accounted for the remaining $58 million. Total adjusted gross revenue (AGR) for the month reached $323.3 million — $286.3 million from iGaming and $37 million from sports betting.

Compared with December, iGaming AGR declined 3.5%, while sports betting AGR dropped 39.5%. Sports betting handle fell 4.2% from December to $491.3 million in January.

On a year-on-year basis, however, iGaming AGR posted a 22.8% increase, reflecting the sustained growth of Michigan’s online casino segment. Sports betting AGR declined 32.5% over the same period.

Proposed Tax Changes on the Horizon

Michigan’s gaming and betting landscape could see significant structural changes if budget proposals put forward by Governor Gretchen Whitmer are approved by the legislature.

Under the proposals, a new sports betting wager tax of $0.25 per bet would apply to an operator’s first 20 million wagers annually, rising to $0.50 per bet beyond that threshold. Online casino licensees generating more than $185 million in AGR within a year would also face an additional eight percentage points in tax rate.

The proposals are currently under review and have yet to be enacted into law.

Source: Michigan Gaming Control Board