Arizona (USA): gambling regulation and licensing
State of Arizona
Part of United States
- Online sports bettingRegulated
- Online casinoProhibited
- Land-based (reference)Regulated
- Regulator
- Arizona Department of Gaming
- Headline tax
- 10% GGR
- Licence required
- Not yet verified
- Last verified
- 30 Aug 2026
Summary
Arizona calls it event wagering rather than sports betting, and the naming reflects a licence structure that is unusual in the United States. When the market launched in September 2021, licences were divided between the state's tribes and its professional sports franchises, rather than being attached to casinos alone, which gave teams a direct commercial stake in the market from day one. The Arizona Department of Gaming regulates it, and the rate is low: 10% of adjusted gross revenue online and 8% retail. Arizona has collected around $185.8 million in sports betting tax since launch, a modest figure for a market of its size, which is a direct function of that rate. That is now contested. The governor has proposed a tiered structure that would take the rate as high as 45% for the largest operators, which would move Arizona from one of the cheapest states to one of the most expensive.
Key facts
- Regulator
- Arizona Department of Gaming (ADG)
- Regulator type
- Sub-national body
- Headline tax
- 10% GGR
- Licence required
- Not yet verified
- Minimum age
- Not yet verified
- Tax base
- Online event wagering is taxed at 10% of adjusted gross revenue and retail at 8%.
- Capital
- Phoenix
- Currency
- USD
- Official languages
- English
Legal framework
Pending legislation
Tiered sports betting tax proposal
- Stage
- proposed
- What it changes
- The governor has proposed a tiered structure taking the rate as high as 45% for the largest operators.
Taxation
- Headline GGR tax
- 10% GGR
- Effective date
- Not yet verified
- Tax base
- Online event wagering is taxed at 10% of adjusted gross revenue and retail at 8%.
Advertising
- Advertising permitted
- Yes
- Affiliate rules
- Affiliates are not separately licensed. The operator remains accountable for advertising published on its behalf, and only state-licensed operators may be promoted.
- Celebrity and influencer rules
- Advertising must not be directed at people below the legal minimum gambling age, which constrains the use of personalities and channels with an under-age following.
- Penalties for breach
- T supervises advertising as part of its licensing function and can take disciplinary action against the licence.he Arizona Department of Gaming
Restrictions
- Advertising is regulated by the Arizona Department of Gaming as a condition of licensure rather than under a separate advertising statute.
- Only operators licensed in the state may lawfully be promoted to its residents.
- Advertising must not be directed at people below the legal minimum gambling age.
- Operators must not direct marketing at self-excluded persons.
- Online casino is not authorised, so only sports betting may be promoted. This is the most common misreading of a US state record: a sports betting licence is not an iGaming licence.
Outlook
A jump from 10% to a 45% top tier would be among the largest proportional increases any state has attempted. Whether it passes is the question that decides Arizona's economics for the rest of the decade.
Frequently asked questions
- What is Arizona's sports betting tax rate?
- 10% of adjusted gross revenue online and 8% retail, though a tiered structure reaching 45% for the largest operators has been proposed.
- Is online casino legal in Arizona?
- No. Arizona authorises event wagering but not online casino.
Sources
- Arizona Department of Gaming
State of Arizona
Tier 1Accessed 22 Aug 2026 - Tier 3Accessed 22 Aug 2026
- Tier 2Accessed 22 Aug 2026