Ohio's governor wants to see sports betting tax doubled in 2026-2027 budget

New York may soon not be the only state that is charging dearly for the right to operate a sports betting business with Ohio governor, Mike DeWine, arguing that the state’s betting tax should go up as well.

Gov. DeWine goes after sports betting tax to raise extra funds

DeWine is offering a two-fold increase from the current 20% to 40%, as part of the next budget covering 2026-27. DeWine has been known to push for such moves as the sports betting tax was increased to its current level after the governor intervened and urged lawmakers to double it from the initial 10%.

DeWine’s justification is rather straightforward – a bigger tax would mean a bigger cut for the state that can use the additional funds to do different things with them. Specifically, DeWine suggests creating a new fund for professional sports facilities and youth sports, with up to $130m generated from the levy.

DeWine seems openly antagonizing towards the sector as well, arguing that sports gambling companies have become too "aggressive." He spoke to the Ohio Capital Journal, a local media outlet, and argued that because of their strategies, companies were making residents lose "large amounts of money," and it would be only fair if the state made them pay back some of this for various initiative.

The industry has not taken too kindly to DeWine’s words, suggesting that it would be hard for any betting business to maintain its current level of commitment when it comes to sponsorships or examples.

The Sports Betting Alliance President, Jeremy Kudon, said that once companies begin paying anything in excess of 20% of their gross gaming revenue in taxes, their commitments to local communities may diminish – specifically naming sponsorships as the likeliest target of future paring down.

Yet, it’s hardly just Ohio that is tinkering with the idea of raising taxes on the regulated gambling sector. Maryland Giv. Wes Moore proposed a similar move seeking to bring in more revenue to the state generated through the taxation of such gambling companies.

Similarly to DeWine, Gov. Moore is a fan of doubling numbers and proposes the current 15% betting tax to be embedded as 30% in the budget for FY2026. As the sports betting bonanza continues, with an expected $1.5bn set to go down on the upcoming Super Bowl, companies will face tougher regulatory scrutiny.

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