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Michigan Poised to Legalize Sports and Internet Gambling

December 14, 2019

It's been a little more than 18 months since the US Supreme Court ruled the nation's ban on sports gambling was unconstitutional. With the new ruling, each state legislature has been given the right to decide on gambling issues for its residents.

In the 18 months since SCOTUS' decision, sixteen states have already passed the required legislation to allow residents to legally bet on sports. Of the 16 states, ten states are already allowing licensed bookmakers to take bets with another 6 states also allowing online/mobile gambling. It looks like Michigan is poised to be come number 17 and 7, respectively.

During the second week of December 2019, the Michigan state legislature passed the gaming bills that will allow existing licensed casinos to online offer poker, blackjack, slots and other casino-style games. With the proper licensing, these same gambling facilities will also be allowed to accept sports wagers in person and online.

As a major sponsor of this new legislation, state Rep. Brandt Iden, R-Oshtemo Township had this to say about the bill passing by a huge margin:

"It's been a long journey to move sports betting and casino-style gaming into a regulated, safe and modern environment - but the end is in sight, and with it a great opportunity for Michigan will begin."

When Will Michigan Residents be Able to Start Betting on Sports?

Based on projections provided by the Senate Fiscal Agency, online gaming and sports betting revenue are expected to bring in between $15 million and $40 million annually to be used for Michigan's School Aid Fund. Additionally, gambling tax revenue will be allocated to help rebuild Detroit's diminishing infrastructure.

With much to look forward to, lawmakers would like to see the state's licensed bookmakers ready to start taking bets by Mid March, which coincides with the start of College Basketball's March Madness. As soon as Gov. Gretchen Whitmer pens her name to the bill, which is expected to happen in short order, the state's assigned regulatory body will begin accepting license applications. If licensing and the implementation of sports betting and online casino software platforms go smoothly, the mid March deadline is doable.

More About This New Legislation

According to Gov. Whitmer's spokesperson Tiffany Brown, "The governor is pleased with the progress made on gaming over the course of this year. The governor's top priority when getting this done was to protect the School Aid Fund."

Brown added, "This is a good, bipartisan solution made possible by working together on a complex issue and the governor looks forward to reviewing this package once it hits her desk."

The effective tax rate on sports betting revenue will be 8.4%. Bettors will be allowed to bet on sports such as MLB, NFL, NHL, NBA and college FB and BB, plus a wide range of sports from other parts of the world.


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