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June 09, 2022

Which Michigan Online Casino Operators Paid the Most Taxes in 2021?



US gambling-related taxation is one of the state budget sources that bring billions of US dollars annually. The taxation rate for casinos in the Wolverine State is pretty high—19%. So, with the thousands of gamblers participating in casino activities, according to iGaming MI, Michigan accumulated $1.1B in revenue in 2021.



So, which MI online casino operators succeeded in paying off the hugest tax amount in 2021? Where did the money go? How are the gambling taxes distributed? We’ll cast a glance at all these particularities providing you with the accurate facts.

Some Quick Facts about Gambling Taxation in MI

In compliance with the annual press release by the Michigan Gaming Control Board (MGCB), the total revenue rate that casinos generated in 2021 was $1.4B. Here, both combined total gross internet gaming receipts, as well as gross internet sports betting receipts, are summed up. The distribution of the funds received looks like this:

  • Online platforms for gambling brought $1.1B;
  • Online sports betting made $$292.2M.

It’s possible to assume that the increased income rates in gambling were the result of two new Bills approved in January 2021: House Bill 1337 and House Bill 1356.

MI Casino Tax Payers Leaderboard

At present, Michigan houses 14 gambling platforms. Five of them showcased impressive results in tax payments in 2021.

 We retrieved tax-based information from the open sources which can differ from the actual ones officially provided by the state.

The following leaders and corresponding tax amounts paid are as follows:

  1. BetMGM – $62,186,393.00
  2. DraftKings – $32,813,082.00
  3. FanDuel – $27,508,264.00
  4. BetRivers – 12,652,302.00
  5. GoldenNugget – $8,400,002.00

BetMGM

Michigan’s number one gambling operator to bring revenue tax of $62,186,393.00 in 2021 is BetMGM owned by MGM Resorts International. Started in January 2021 and associated with MGM Grand Detroit, it paid $12,103,726.00 tax amount in December 2021, which was the biggest rate of the year. The lowest amount BetMGM paid was in January — just $1,707,829.00.

DraftKings

DraftKings, associated with Bay Mills Resort & Casino, holds the second place on the gambling tax players’ leaderboard. It paid $32,813,082.00 of taxes in 2021. All the taxes are paid by the casino’s company-owner, DraftKings Inc.

FanDuel

Flutter Entertainment’s FanDuel partnered with MotorCity Casino paid $27,508,264.00 taxes. Similar to BetMGM, December 2021 was the most profitable month for FanDuel when it comes to taxes.

BetRivers

The fourth spot was taken by BetRivers owned by Rush Street Interactive, Inc. Launched in 2021, partnered with Little River Casino Resort, it directed $12,652,302.00 of taxes in 2021 to the state and local budgets.

GoldenNugget

Launched in 2021 in partnership with Ojibwa Casino, GoldenNugget casino got $50,559,889.00 in revenue in 2021. Operated by Golden Nugget Hotels & Casinos, the gambling venture paid $8,400,002.00 in state and city taxes.

Where Does The Money Go?

School Aid Fund is where the State Wagering Tax goes in Michigan, while the city wagering tax is allocated to neighborhood and development programs, capital and road improvements, as well as public safety programs and bolstering the police force . Regardless of the doubts that had been present before the state legalized gambling, the first tax revenue of January 2021 dissolved all the fears.



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