Where The Money Goes
In North Carolina licensed interactive sports wagering operators each pay 18% tax on their gross wagering revenues each month. Gross wagering revenue is the total of amounts received by an interactive sports wagering operator from sports wagers authorized under state law, less the amounts paid as winnings before any deductions for expenses, fees, or taxes. (N.C. Gen. Stat. §18C-901(7).)
The N.C. General Assembly sets the tax rate and determines how tax proceeds and license fees are allocated. (N.C. Gen. Stat. §105-113.128; N.C. Gen. Stat. §18C-909.)
State law dictates that tax proceeds are credited to designated beneficiaries and funds after certain reimbursements are made to the N.C. State Lottery Commission and the N.C. Department of Revenue for expenses incurred to implement and administer the law. Tax proceeds are allocated in the following priority:
$2 million annually to the Department of Health and Human Services for gambling addiction education and treatment programs.
$2 million annually to North Carolina Amateur Sports to expand opportunities in youth sports.
Annually to the North Carolina Youth Outdoor Engagement Commission for grants of up to $5,000 per team or group, per count, to help cover the cost of travel to in-state or out-of-state sporting events and grants of up to $25,000 to attract amateur state, regional, area, and national sporting events, tournaments, and programs.
$300,000 annually to collegiate athletic departments at 13 state universities.
Remaining proceeds are distributed as follows:
to the 13 state universities to support collegiate athletic departments.
to North Carolina Major Events, Gamers and Attractions Fund.
to the state’s General Fund.
The North Carolina Department of Revenue provides information regarding taxes applicable to interactive sports wagering operators online.
NOTICE: The information included on this website is to be used only as a guide. It is not intendent to cover all provisions of the law or every taxpayer’s specific circumstances.
North Carolina State Lottery Commission
Additional Information
