Michigan Online Gambling Revenue – Updated November 2024
The law legalizing Michigan online gambling was signed by Governor Gretchen Whitmer in December of 2019, with the first online casinos appearing in January of 2021 after following strict licensing procedures.
The law granted the ability for Michigan’s 12 tribal casinos and the three commercial casinos based in Detroit to partner with one online casino brand and one online poker brand.
The Michigan Gaming Control Board (MGCB), which is responsible for regulating and licensing gambling within the state, scheduled the date for online gambling platforms to launch on January 22, 2021, and many casinos were ready to go on that date. Some, however, launched later.
This page showcases some of the important Michigan gambling revenue statistics and how tax is allocated.
How are online casino operators taxed, and how is tax revenue allocated in Michigan?
Online casinos in Michigan with gross revenues of less than $4 million pay 20% tax, whereas those who collect revenues greater than $12 million will pay 28% tax.
Tax allocation is different between tribal casinos and Detroit’s commercial casinos.
Commercial operators:
- 65% to the Internet Gaming Fund;
- 5% up to $3 million to the Agriculture Equine Industry Development Fund;
- 30% to the city of Detroit.
Tribal Operators:
- 70% to the Internet Gaming Fund;
- 10% to the Michigan Strategic Fund;
- 20% to the operator’s local governing body.
The Internet Gaming Fund covers funds for the MGCB, compulsive gambling prevention, first responder coverage, and payments to the School Aid Fund.
In addition, if payments to the city of Detroit fall below $183 million for the preceding year, up to 55% of the Internet Gaming Fund will be used to make up the difference.
Online Gambling in Michigan: Lifetime Revenue Statistics – Updated November 2024
Below is a list of the lifetime Michigan online gambling revenues in gross receipts for each casino operator from the time they launched, alongside how much internet gaming state tax they paid.
Platform Provider | Operator | Operation Launch | Gross Receipts | Internet Gaming State Tax |
---|---|---|---|---|
BetMGM | MGM Grand Detroit | January 2021 | $1,453,142,877 | $255,531,372 |
FanDuel | MotorCity Casino | January 2021 | $724,936,651 | $126,449,918 |
DraftKings | Bay Mills | January 2021 | $693,783,871 | $138,392,686 |
BetRivers | Little River Casino Resort | January 2021 | $259,884,641 | $46,625,059 |
Golden Nugget | Ojibwa Casino Resort | January 2021 | $185,206,817 | $35,707,507 |
WynnBET | Kewadin Casino | January 2021 | $144,406,817 | $27,684,614 |
Caesars | Leelenau Sands Casino | January 2021 | $141,498,165 | $26,907,335 |
Barstool | Greektown Casino | February 2021 | $124,631,198 | $20,554,824 |
PokerStars | Odawa Casino Resort Petoskey | January 2021 | $97,563,218 | $18,036,744 |
Four Winds | Four Winds Casino | February 2021 | $86,200,058 | $14,437,610 |
Play Gun Lake | Gun Lake Casino | April 2021 | $44,155,988 | $15,713,171 |
Eagle Casino | Soaring Eagle Casino | April 2022 | $43,474,064 | $7,667,120 |
FireKeepers | FireKeepers Casino | July 2021 | $37,945,543 | $6,206,025 |
TwinSpires | Island Resort & Casino | January 2021 | $33,613,705 | $5,460,621 |
PointsBet | Lac Vieux Desert Resort Casino | May 2021 | $25,655,635 | $4,571,666 |
TOTAL | – | – | $4,103,328,580 | $747,713,374 |
FAQ
Which Michigan online casino operator generated the most tax revenue?
MGM Grand Detroit’s BetMGM platform, which was Michigan’s annual gambling revenue leader in 2021, generated the most tax revenue to date by a large margin.
When did online gambling become legal in Michigan?
Governor Gretchen Whitmer legalized online gambling in 2019, but the first online casinos, under instruction from the Michigan Gaming Control Board, first welcomed customers on January 22, 2021.
Do you have to pay taxes on online gambling in Michigan?
Yes. All gambling income earned within the state of Michigan is subject to tax, whether played online or in one of the land-based casinos. This tax should be reported on both federal and Michigan income tax returns.
References
- Michigan Gaming Control Board – Revenues and Wagering Tax Information, michigan.gov.
- Michigan Gaming Control Board – Governor Whitmer Signs Bipartisan Legislation Legalizing Sports Betting in Michigan; Revenue Supports School Aid Fund and First Responder Presumed Coverage Fund, michigan.gov, 20 December 2019.