United States - Montana: gambling regulation and licensing
Part of United States
- Online sports bettingMonopoly
- Online casinoProhibited
- Online pokerProhibited
- Lottery and iLotteryProhibited
- Horse race bettingRegulated
- Daily fantasy sportsProhibited
- Prediction marketsGrey market
- Social and sweepstakes casinoProhibited
- Crypto casinoProhibited
- Land-based (reference)Regulated
- Headline tax
- 15% GGR
- Licence required
- Yes
- Last verified
- 21 Oct 2026
Summary
Montana regulates gambling through licensed bars and taverns rather than casinos, and keeps almost all of it offline. The Gambling Control Division of the Department of Justice, under the Attorney General, licenses gambling operators, permits up to 20 video gambling machines on each licensed premises and collects a 15% tax on machine gross income, which raised $83.5 million for the general fund in the year to 30 June 2025. Sports wagering is a state monopoly: the Montana Lottery, overseen by the State Lottery and Sports Wagering Commission, runs Sports Bet Montana through 568 licensed sales agents, and a mobile bet is lawful only when placed inside a licensed sports wagering facility, confirmed by location services. Sports Bet Montana reported $66.2 million in Sports Bet revenue in fiscal 2025. Online casino, online poker and paid online fantasy contests are prohibited. Since 1 October 2025, SB 555 has named online casinos, including any platform that takes bets and pays out in any form of currency, as illegal internet gambling; only games that use no currency at all are exempt, and operating an internet gambling site in the state is a felony carrying up to 10 years and a $50,000 fine. Advance deposit wagering on horse racing is legal through hubs licensed by the Board of Horse Racing. The minimum age is 18 for every product. Prediction markets are contested: the Division ordered Kalshi to stop offering event contracts in March 2025 and April 2026, Kalshi sued, and the case was dismissed in September 2026 after the state agreed not to act against Kalshi until its request for rehearing in the Ninth Circuit is resolved. Draft bills on sports betting, prediction markets and gambling have been requested for the 2027 session.
Common pitfalls
Reading mobile sports betting in Montana as statewide: the app works only inside a licensed sales agent's premises, and there is no private sportsbook licence. Taking the 15% figure as an online tax: it applies to video gambling machine income only. Treating the September 2026 dismissal of Kalshi's case as a win for Kalshi: the state kept its position that event contracts are illegal gambling and only paused enforcement pending the Ninth Circuit.
Key facts
- Regulator
- Montana Department of Justice, Gambling Control Division (GCD)
- Regulator type
- Sub-national body
- Headline tax
- 15% GGR
- Licence required
- Yes
- Minimum age
- 18+
- Tax base
- Applies to video gambling machines only, not to any online product. Licensed machine owners pay 15% of aggregate gross income, money put into machines less credits paid out in cash, which may be negative; documented theft may be deducted (MCA 23-5-602(7), 23-5-610). The whole tax goes to the state general fund: $83,516,060 in fiscal 2025. Live bingo and keno pay 1% of gross proceeds to local government, and sports tab sellers collect $1 for each 100 tabs (23-5-502(2)). Sports wagering is a lottery product with no operator tax: after prizes, commissions and expenses, lottery net revenue goes first to the STEM scholarship account and then to the general fund (23-7-402).
How to get a gambling license in Montana
Online sports betting in Montana is a state monopoly: only a single state-owned or designated operator is permitted.
The regulator is the Montana Department of Justice, Gambling Control Division (GCD).
We record 4 licence types for Montana.
For the Video gambling machine permit, the annual fee is $240 (as of 30 Jun 2025).
- Applications
- Accepted on a rolling basis
- Local presence
- A local company or establishment is required.
- Financial guarantee
- The Lottery director may require a bond from any licensed sales agent in an amount set by commission rules (MCA 23-7-301(6)); lottery contractors deliver a performance bond (23-7-211(2)(b)).
- Headline tax
- 15% GGR (see Taxation for the full position)
Licence fees in Montana
| Licence type | Application fee | Annual fee | Term |
|---|---|---|---|
| Video gambling machine permit$240 a machine a year, prorated by quarter; $140 to the state special revenue fund and $100 to the local government where the machine sits (MCA 23-5-612). | Not yet verified | $240 (as of 30 Jun 2025) | Fiscal year to 30 June |
Built from the record on this page, last verified 21 Oct 2026. The Licensing and Taxation sections carry the full detail and sources.
Legal framework
Primary statutes
Montana Code Annotated Title 23, Chapter 5 (Gambling)
- Year
- 1989
- In force
- Yes
- Summary
- Prohibits all public gambling not specifically authorised (23-5-151) and centralises regulation in the Department of Justice. Covers operator licensing, card games, bingo, keno and raffles, sports pools, video gambling machines and their 15% gross income tax, casino nights and fantasy sports leagues; defines internet gambling and, since SB 555 of 2025, online casinos as prohibited; sets misdemeanour and felony penalties and administrative remedies.
- Year
- 1985
- In force
- Yes
- Summary
- Establishes the state lottery and sports wagering agency under a five-member commission. Sports wagering is a lottery game sold through licensed sales agents, and mobile wagering is confined to the licensed facility by location-based services. Sets the minimum age of 18, bans purchase on credit, caps sales agent commissions at 10% and sends net revenue first to the STEM scholarship account ($2.25 million a year) and then to the general fund. The chapter must be strictly construed under Article III, section 9 of the Montana Constitution, which prohibits all gambling unless authorised by the Legislature or by the people.
Montana Code Annotated Title 23, Chapter 4 (Horseracing)
- In force
- Yes
- Summary
- Parimutuel racing and simulcasting under the Board of Horse Racing, including licensing of advance deposit wagering hub operators and source market fees on wagers by Montana residents; all other betting on animal contests is unlawful.
Secondary instruments
Administrative Rules of Montana, subchapter 2.63.13 (Sports Wagering)
- Year
- 2019
- In force
- Yes
- Summary
- Lottery Commission rules effective 7 December 2019 on sports wagering accounts (identity and age verification, one account per player), the voluntary self-exclusion program and responsible gaming limits.
State-tribal class III gaming compacts
- In force
- Yes
- Summary
- Compacts with the Crow Tribe (8th amendment approved 2014), Fort Belknap (2007), Northern Cheyenne (2013), Chippewa Cree (2013) and Fort Peck (approved 23 January 2024) allow tribal video gambling machines with higher stakes than state-licensed premises, up to $5,000 prizes on high-stakes machines. The Fort Peck compact allows sports wagering in tribal and Indian-owned casinos on the reservation, through the Lottery or an approved vendor.
Key amendments
- Sports Wagering Lottery Amendment of 2019 (Ch. 284, L. 2019) added sports wagering to the lottery's remit, created the sports wagering licence and facility, and confined mobile wagering to the licensed premises.
- 1 Oct 2025SB 555 (Ch. 626, L. 2025) takes effect: online casinos using any form of currency are internet gambling and prohibited, currency-free games are exempt, operating an illegal internet gambling site in the state is a felony, and gambling fines go to the Department of Justice operating budget.
Pending legislation
LC0032, Generally revise laws relating to sport betting (2027 session)
- Stage
- Draft request; drafter assigned 8 September 2026. No text yet.
- What it changes
- Not yet known. Any change to who may offer sports wagering or where would amend Title 23, chapter 7.
LC0258, Generally revise prediction market laws (2027 session)
- Stage
- Draft request filed 10 September 2026; drafter assigned. No text yet.
- What it changes
- Not yet known. The first Montana draft to address prediction markets, requested while enforcement against Kalshi is paused.
LC0331, Generally revise gambling laws (2027 session)
- Stage
- Draft request filed 10 September 2026; drafter assigned. No text yet.
- What it changes
- Not yet known.
LC0660, Gambling oversight to economic affairs interim committee (2027 session)
- Stage
- Draft request by an interim (non-standing) committee; drafter assigned 30 September 2026. No text yet.
- What it changes
- Not yet known. By its title, would move legislative interim oversight of gambling to the Economic Affairs Interim Committee.
LC0705 and LC0706, Generally revise gambling laws (2027 session)
- Stage
- Two draft requests by a legislator; drafter assigned 14 October 2026. No text yet.
- What it changes
- Not yet known.
LC0568, Align the alcohol licensure requirements with gambling licensure for felony convictions (2027 session)
- Stage
- Agency draft request; drafter assigned 28 September 2026. No text yet.
- What it changes
- Not yet known. By its title, would align the treatment of felony convictions in alcohol licensing with gambling licensing.
Case law
KalshiEX LLC v. Knudsen, No. 6:26-cv-00028 (D. Mont.)
21 Sept 2026
Kalshi sued the Attorney General, the Gambling Control Division and its administrator, and the five Lottery and Sports Wagering commissioners on 12 April 2026 after cease-and-desist letters of 26 March 2025 and 6 April 2026, claiming exclusive CFTC jurisdiction over its event contracts. On 27 August 2026 Judge Molloy refused to extend a stay, lifted it and denied the preliminary injunction motion without prejudice. The case was dismissed on 21 September 2026, with prejudice as to the commissioners and without prejudice as to the Attorney General, the Division and its administrator, on a stipulation that Montana will not act against Kalshi over contracts traded on a designated contract market until the Ninth Circuit rehearing petition in KalshiEX v. Assad is resolved, and will then give 30 days' notice.
KalshiEX, LLC v. Assad, No. 25-7516 (9th Cir. 2026)
28 Aug 2026
Ninth Circuit panel, in a Nevada case binding on federal courts in Montana, affirmed in part the dissolution of Kalshi's preliminary injunction as to sports event contracts, remanding on election contracts, holding that its sports event contracts are likely not swaps under the Commodity Exchange Act and that the Act likely does not preempt state gaming regulation as applied to them. Kalshi petitioned for rehearing en banc on 9 September 2026.
Licensing
- Licence required
- Yes
- Application window
- Rolling
- Local establishment required
- Yes
- Local server required
- Not yet verified
- Active licences
- 1,340 (as of 31 Mar 2026)
- Bank guarantee or bond
- The Lottery director may require a bond from any licensed sales agent in an amount set by commission rules (MCA 23-7-301(6)); lottery contractors deliver a performance bond (23-7-211(2)(b)).
- Certification requirements
- New video gambling machines and associated equipment are examined and approved by the Division's Technical Services lab, funded by manufacturer testing fees; the lab closed 70 device cases in fiscal 2024 with an average 13-day turnaround on modifications. Sports wagering equipment must connect to the lottery central gaming system (MCA 23-7-103(9)).
- Barriers to entry
- No private online licence of any kind. Machines, card games and sports pools need an on-premises alcoholic beverage licence (MCA 23-5-119), and sports wagering belongs to the Lottery, sold only by existing licensed gambling operators acting as sales agents. There were 1,340 licensed establishments at 31 March 2026 and 568 Sports Bet Montana sales agents in fiscal 2025.
Licence types
Gambling operator licence (Department of Justice)
- Scope
- Required to make available to the public any gambling device or enterprise that needs a Division permit; one operator licence per premises, issued annually with its permits.
- Term
- 1 year
- Fee basis
- One-time application processing fee equal to the Division's actual cost of the suitability investigation, with any overpayment refunded (MCA 23-5-177(8)). Fingerprints required from the applicant and each 10% shareholder, officer and director.
- Renewal terms
- Issued annually; a privilege revocable for good cause, not transferable (23-5-110(2)).
Video gambling machine permit
- Scope
- Placement of an approved bingo, keno, poker, line game or multigame machine on premises holding an operator licence and an on-premises alcoholic beverage licence, up to 20 machines.
- Term
- Fiscal year to 30 June
- Annual fee
- $240 as of 30 Jun 2025
- Fee basis
- $240 a machine a year, prorated by quarter; $140 to the state special revenue fund and $100 to the local government where the machine sits (MCA 23-5-612).
- Renewal terms
- Annual; no refund if the machine stops operating.
Sports wagering licence (Montana Lottery sales agent)
- Scope
- Operation of Sports Bet Montana terminals and on-premises mobile wagering at a single approved facility that is also a licensed gambling operator.
- Fee basis
- No statutory fee. Agents earn commission capped at 10% of wagers (MCA 23-7-301(10)); in fiscal 2025 agents with a terminal earned 3% of gross wagers and mobile-only agents 1.5%. Licences may not go to a business trading only as a sales agent or to athletes, coaches, referees, team owners or staff.
- Renewal terms
- Not assignable or transferable; may be suspended or revoked after notice and hearing (23-7-301(8), (13)).
Advance deposit wagering hub operator licence (Board of Horse Racing)
- Scope
- Account-based parimutuel wagering by Montana residents on horse races.
- Fee basis
- Source market fee on Montana residents' wagers at a percentage set in the licence agreement (MCA 23-4-301(7)(f)).
Taxation
- Headline GGR tax
- 15% GGR
- Effective date
- Not yet verified
- Tax base
- Applies to video gambling machines only, not to any online product. Licensed machine owners pay 15% of aggregate gross income, money put into machines less credits paid out in cash, which may be negative; documented theft may be deducted (MCA 23-5-602(7), 23-5-610). The whole tax goes to the state general fund: $83,516,060 in fiscal 2025. Live bingo and keno pay 1% of gross proceeds to local government, and sports tab sellers collect $1 for each 100 tabs (23-5-502(2)). Sports wagering is a lottery product with no operator tax: after prizes, commissions and expenses, lottery net revenue goes first to the STEM scholarship account and then to the general fund (23-7-402).
Earmarked levies
- Video gambling machine gross income tax: 15% of machine gross income (State general fund (MCA 23-5-610(3)))
- Video gambling machine permit fee: $240 a machine a year: $100 local, $140 state (Local government where the machine is located; gambling state special revenue fund (MCA 23-5-612(3)))
- Lottery and sports wagering net revenue: First $2.25 million a year, then the remainder (Montana STEM scholarship program, then state general fund (MCA 23-7-402(3)); $19,983,138 went to the general fund in fiscal 2025)
- Advance deposit wagering source market fee: Percentage set in each hub licence agreement (Board of Horse Racing: 80% to live race meet licensees, up to 10% for administration, the rest to owner and breeder bonus programmes (MCA 23-4-302(4)))
Compliance
- Minimum age
- 18+
- National self-exclusion
- Montana Lottery voluntary self-exclusion program for sports wagering (ARM 2.63.1304)
- KYC timing
- Sports wagering: at account opening, before any mobile wager; terminal bets at a facility need no account (ARM 2.63.1301(2)).
- AML regime
- Credit gambling is prohibited and land-based consideration must be paid in cash, with cheques or debit cards used only to obtain cash (MCA 23-5-157). Lottery and sports wagers may be bought only with cash, cheque or debit card (23-7-302(3)). Sports wagering accounts are suspended for illegal activity or fraudulent deposits, and withdrawals wait for investigations and ACH clearance (ARM 2.63.1301(8), (12)).
- Deposit limits
- The Lottery must offer daily, weekly and monthly deposit limits in each sports wagering account (ARM 2.63.1305(1)(a)).
- Loss limits
- Daily, weekly and monthly spending limits on funds put at risk (ARM 2.63.1305(1)(b)).
- Session limits
- A daily time-based limit measured from log-in to log-off (ARM 2.63.1305(1)(c)).
- Central monitoring system
- Sports wagering equipment is connected to the state lottery central gaming system (MCA 23-7-103(9)); video gambling machine data can be reported electronically through approved automated accounting and reporting systems (23-5-602(3), 23-5-621).
- KYC requirements
- Before opening a sports wagering account the Lottery verifies identity and age 18 by physical or electronic means, checks the player is not self-excluded or otherwise barred, and records the ID document number or the remote authentication method; one account per player (ARM 2.63.1301). Tickets and wagers may not be sold to anyone under 18 or to commissioners, lottery staff, suppliers and their households (MCA 23-7-302). Advance deposit wagering hubs verify identification, residence and age (23-4-301(7)(e)). Allowing a person under 18 to gamble is a misdemeanour (23-5-158).
- Stake limits
- Video gambling machines: no more than $2 a game and no award above $800 a game (MCA 23-5-608), with expected payback of at least 80% and, for line games, no more than 92% (23-5-607). Tribal compact machines may pay up to $5,000.
- Mandatory player messaging
- The Lottery must state how to find the odds or payoffs in advertisements and at every point of sale (MCA 23-7-305). Advance deposit wagering advertising must state that persons under 18 may not take part (23-4-301(7)(d)).
- Reporting obligations
- Machine owners keep gross income records for each machine open to inspection (MCA 23-5-610(2)); machines that report through an approved automated accounting and reporting system send accounting data electronically (23-5-621). Lottery sales agents keep complete records open to the commission, legislative auditor and Attorney General (23-7-301(11)).
- Game content restrictions
- Only bingo, keno, poker, line game and multigame video machines are authorised; slot machines, banking card games such as blackjack, and craps and roulette are illegal (MCA 23-5-603, 23-5-112(21), (22)). Online fantasy sports wagering is unlawful (23-5-802).
Minimum age by vertical
- Online sports betting: 18+
- Land-based (reference): 18+
- Horse race betting: 18+
Advertising
- Advertising permitted
- Yes
- Mandatory warnings
- Advance deposit wagering advertising: a statement that a person under 18 years of age is not allowed to participate (MCA 23-4-301(7)(d)).
- Penalties for breach
- Soliciting or advertising illegal gambling is punishable under MCA 23-5-161 (a fine of up to $500 for a first offence, more for repeat offences) and 23-5-162 (up to $50,000 and 10 years a violation); licensees also face administrative action under 23-5-136.
Restrictions
- Advertising for or soliciting participation in an illegal gambling enterprise, including internet gambling and online casinos, is a crime punishable as a misdemeanour or felony (MCA 23-5-154).
- Licensed operators, distributors, route operators and manufacturers may not reference games not authorised under Title 23 when advertising or promoting video gambling machines (MCA 23-5-603(5)).
- Lottery and sports wagering advertisements must state how to find the odds or payoffs (MCA 23-7-305).
- Advance deposit wagering advertising must state that persons under 18 may not take part (MCA 23-4-301(7)(d)).
- The names of elected officials may not appear on any lottery ticket or wager (MCA 23-7-302(5)).
Payments
- Credit card ban
- Yes
- Crypto stance
- Not yet verified
- Permitted methods
- Cash, cheque or debit card for lottery tickets and sports wagers, debit card use limited to the issuer's daily withdrawal amount (MCA 23-7-302(3)), Cash for land-based gambling, with cheques or debit cards accepted only to obtain cash unconditionally (MCA 23-5-157), Sports wagering account withdrawals by cheque or wire, credit to the player's debit card, or at sports wagering equipment (ARM 2.63.1301(11))
- Withdrawal timeframe rules
- Sports wagering account funds may not be withdrawn until any dispute or investigation is resolved, the ACH funding clears or the chargeback period ends, and promotional funding clears (ARM 2.63.1301(12)).
- Currency restrictions
- Tickets, chances and wagers may not be purchased on credit (MCA 23-7-302(3)). Credit gambling, including a credit card held pending the outcome of a game or any loan from a licensee, is prohibited (23-5-157(1)(c)). Players may not transfer funds between sports wagering accounts (ARM 2.63.1301(13)).
Enforcement
- ISP blocking
- Not yet verified
- DNS blocking
- Not yet verified
- Payment blocking
- Not yet verified
- App store takedowns
- Not yet verified
- Administrative penalties
- The Department of Justice may issue a temporary cease-and-desist order for up to 60 days on clear and convincing evidence, and after a hearing a permanent order, probation, suspension for up to 180 days, revocation, and a civil penalty of up to $10,000 a violation whether or not the person is licensed; it may also seek injunctions and a receiver in district court (MCA 23-5-136). Lottery sales agent licences may be suspended or revoked after a hearing (23-7-301(13)).
- Criminal penalties
- Misdemeanour: fine up to $500 for a first offence, rising to $10,000 and one year in jail for a third or fourth within five years, with permanent licence revocation on a fourth (MCA 23-5-161). Felony: fine up to $50,000 or 10 years' imprisonment a violation, with revocation of all licences (23-5-162(1), (2)). Operating an illegal internet gambling site in the state, including through licensed or unlicensed offshore sources, is a felony (23-5-162(3)). Lottery offences such as selling to a person under 18: fine up to $500 or six months (23-7-110).
- Operator liability
- Possessing an illegal gambling device or operating an illegal gambling enterprise is a misdemeanour (MCA 23-5-152), obtaining more than $750 through an illegal enterprise is a felony (23-5-156), and operating an internet gambling site in the state is a felony (23-5-162(3)). The Division enforces through cease-and-desist letters, as it did twice against Kalshi, and county attorneys or the Attorney General prosecute (23-5-172).
- Player liability
- A person under 18 who gambles faces a civil penalty of up to $50 (MCA 23-5-158(2)). No offence for an adult merely placing a bet with an unlicensed online operator was identified; a player who loses money at illegal gambling may sue within one year to recover it, with exemplary damages of $500 to $5,000 (23-5-131).
Notable actions
- KalshiEX LLC21 Sept 2026
Kalshi's federal suit against the Attorney General, the Division and the Lottery commissioners was dismissed on a stipulation: Montana will not bring any enforcement action or cease-and-desist proceeding against Kalshi over contracts traded on a designated contract market until its Ninth Circuit rehearing petition in KalshiEX v. Assad is resolved, and will give 30 days' notice before acting. The preliminary injunction motion had been denied without prejudice on 27 August 2026.
- KalshiEX LLC6 Apr 2026
Second cease-and-desist order: the Division had agreed to hold off while a Nevada preliminary injunction stood; after that injunction was dissolved, it again told Kalshi its event contracts were illegal gambling in Montana.
- KalshiEX LLC26 Mar 2025
Cease-and-desist order: the Division concluded after an investigation that Kalshi's event contracts, offered without a Montana gambling licence, are gambling under MCA 23-5-112(14)(a) and that sports event contracts breach the sports wagering law in 23-7-103.
Market data
Figures on this record are drawn from official regulator data.
- Online GGR
- Not yet verified
- Reporting year
- 2025
GGR by vertical
- Online sports betting: $9,767,249 as of 30 Jun 2025
Timeline
7 Dec 2019
Lottery Commission sports wagering rules on accounts, self-exclusion and responsible gaming take effect
26 Mar 2025
Gambling Control Division orders Kalshi to cease offering event contracts in Montana
13 May 2025
Governor signs SB 555, naming online casinos as prohibited internet gambling
30 Jun 2025
Fiscal 2025 closes: video gambling machine tax $83.5 million, a record; Sports Bet Montana revenue $66.2 million, up 3.9%
1 Oct 2025
SB 555 takes effect
31 Mar 2026
Third quarter of fiscal 2026 closes with video gambling machine tax of $21.7 million, up 6.4% on a year earlier, and 1,340 licensed establishments
6 Apr 2026
Division issues a second cease-and-desist order to Kalshi
12 Apr 2026
Kalshi sues the Attorney General, the Division and the Lottery commissioners in the District of Montana
27 Aug 2026
Court lifts the stay and denies Kalshi's preliminary injunction motion without prejudice
28 Aug 2026
Ninth Circuit rules in KalshiEX v. Assad that sports event contracts are likely not swaps and state gaming law is likely not preempted
10 Sept 2026
Draft requests on prediction market laws and gambling laws filed for the 2027 session, after one on sports betting on 4 September
21 Sept 2026
Kalshi case dismissed on a stipulation pausing enforcement until the Ninth Circuit rehearing petition is resolved
Outlook
For the 2027 session, draft requests already filed on sports betting (LC0032), prediction market laws (LC0258) and gambling laws (LC0331, LC0705 and LC0706), together with LC0660 on interim oversight of gambling and LC0568 on felony convictions in licensing, are the vehicles for any change; none has text yet. On prediction markets, Montana has agreed not to act against Kalshi until the Ninth Circuit disposes of Kalshi's rehearing petition in KalshiEX v. Assad, after which the Attorney General and the Division may resume enforcement on 30 days' notice. The panel ruling that sports event contracts are likely not swaps binds federal courts in Montana unless it is reheard or reversed.
Frequently asked questions
- Is online sports betting legal in Montana?
- Only through the Montana Lottery's Sports Bet Montana, and a mobile bet counts only when placed inside a licensed sports wagering facility, confirmed by location services. There is no private operator licence.
- Is online casino legal in Montana?
- No. Since 1 October 2025 MCA 23-5-112 names online casinos, including any platform that takes bets and pays out in any form of currency, as prohibited internet gambling. Only games that use no currency of any kind are exempt, and operating an internet gambling site in the state is a felony.
- Who regulates gambling in Montana?
- The Department of Justice's Gambling Control Division licenses gambling operators, card games and video gambling machines. The Montana Lottery, under the State Lottery and Sports Wagering Commission, runs the lottery and sports wagering, and the Board of Horse Racing licenses racing and advance deposit wagering hubs.
- How is gambling taxed in Montana?
- Video gambling machine gross income is taxed at 15%, all of it paid into the general fund, which raised $83.5 million in fiscal 2025. Sports wagering pays no operator tax: it is a lottery product whose net revenue goes to the STEM scholarship account and the general fund.
- What is Montana's position on prediction markets?
- The Gambling Control Division treats Kalshi's event contracts as illegal gambling and issued cease-and-desist orders in March 2025 and April 2026. Kalshi's federal suit was dismissed in September 2026 after the state agreed to pause enforcement until the Ninth Circuit resolves Kalshi's rehearing petition in KalshiEX v. Assad.
- Can Montanans bet on horse racing or fantasy sports online?
- Horse racing, yes, through advance deposit wagering hubs licensed by the Board of Horse Racing, from age 18. Paid fantasy sports, no: MCA 23-5-802 makes wagering on a fantasy league by telephone or internet unlawful.
- How much does a gambling licence cost in Montana?
- For the Video gambling machine permit, the annual fee is $240 (as of 30 Jun 2025). The Licensing section lists all 4 licence types recorded for Montana. Last verified 21 Oct 2026.
Glossary and directory
Sources
Source tiers. Tier 1: the law, official gazette, licence register or regulator itself. Tier 2: other official sources such as ministries, parliaments, courts and statistics agencies. Only tier 1 and tier 2 sources can support a fact on their own.
- Montana Code Annotated 23-5-110, Public policy of state concerning gambling (licences are a revocable privilege)
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-112, Definitions (gambling, illegal gambling enterprise, internet gambling and online casinos, as amended by SB 555 of 2025)
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-115, Powers and duties of department, licensing
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-119, Appropriate alcoholic beverage licence for certain gambling activities
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-136, Injunction and other remedies (cease and desist orders, civil penalties)
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-151, Gambling prohibited except as specifically authorised by statute
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-152, Possession of illegal gambling device or conducting illegal gambling enterprise prohibited
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-154, Soliciting participation in illegal gambling activity prohibited
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-157, Gambling on cash basis, credit gambling prohibited
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-158, Minors not to participate
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-161, Criminal liabilities, misdemeanour
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-162, Criminal liabilities, felony (including operating an illegal internet gambling site)
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-176, Qualifications for licensure
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-177, Operator of gambling establishment, licence, fee
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-502, Sports pools and sports tab games authorised, tax
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-603, Video gambling machines, possession, play, restriction (advertising)
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-607, Expected payback of video gambling machines
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-608, Limitation on amount played and value of prizes on video gambling machines
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-610, Video gambling machine gross income tax
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-611, Machine permit qualifications, limit of 20 machines
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-612, Machine permits, fees
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-621, Video gambling machine rules, automated accounting and reporting systems
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-802, Fantasy sports leagues authorised (internet and telephone wagering unlawful)
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-810, Fantasy sports league violations
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-113, Department as criminal justice agency
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-131, Losses at illegal gambling may be recovered in civil action
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-156, Offering or obtaining anything of value by fraud or operation of illegal gambling device or enterprise
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-172, Prosecution
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-5-602, Video gambling machine definitions (gross income, automated accounting and reporting system)
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-7-104, Authorisation of sports wagering
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-7-211, Powers and duties of director
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-4-302, Distribution of deposits, source market fees
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-7-102, State lottery purpose (products sold only through an authorised device at a licensed sales agent location)
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-7-103, Definitions (lottery game, sports wagering, sports wagering licence and facility)
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-7-110, Lottery and sports wagering penalties
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-7-201, State lottery and sports wagering commission
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-7-202, Powers and duties of commission
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-7-301, Sales agents, licences
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-7-302, Sales restrictions (age 18, no purchase on credit)
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-7-305, Disclosure of odds
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-7-402, Disposition of lottery revenue
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-4-101, Horse racing definitions (advance deposit wagering hub operator)
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Montana Code Annotated 23-4-301, Parimutuel betting, advance deposit wagering, other betting illegal
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026 - Administrative Rules of Montana 2.63.1301, Sports wagering accounts (effective 7 December 2019)
Montana Secretary of State (rules of the State Lottery Commission)
Tier 1Accessed 23 Sept 2026Published 7 Dec 2019 - Administrative Rules of Montana 2.63.1304, Self-exclusion program (effective 7 December 2019)
Montana Secretary of State (rules of the State Lottery Commission)
Tier 1Accessed 23 Sept 2026Published 7 Dec 2019 - Administrative Rules of Montana 2.63.1305, Responsible gaming (effective 7 December 2019)
Montana Secretary of State (rules of the State Lottery Commission)
Tier 1Accessed 23 Sept 2026Published 7 Dec 2019 - SB 555 (2025), Generally revise gambling laws (LC2686, Ch. 626, L. 2025): signed 13 May 2025, effective 1 October 2025
Montana Legislature (Legislative Services Division)
Status history, chapter number and the 1 October 2025 effective date were read from the Legislature's bill service behind Bill Explorer (bearbeta.legmt.gov/bills/v1/bills/2671 and sessionLawEffectiveDates for bill 2671); the enrolled text was read from the bill's document list.
Tier 1Accessed 23 Sept 2026Published 13 May 2025 - LC0032 (2027 session draft request), Generally revise laws relating to sport betting: drafter assigned 8 September 2026
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026Published 4 Sept 2026 - LC0258 (2027 session draft request), Generally revise prediction market laws: drafter assigned
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026Published 10 Sept 2026 - LC0331 (2027 session draft request), Generally revise gambling laws: drafter assigned
Montana Legislature (Legislative Services Division)
Tier 1Accessed 23 Sept 2026Published 10 Sept 2026 - KalshiEX LLC v. Knudsen, No. 6:26-cv-00028 (D. Mont.), docket (filed 12 April 2026, terminated 21 September 2026)
United States District Court for the District of Montana, via CourtListener (RECAP)
Tier 1Accessed 23 Sept 2026Published 12 Apr 2026 - Gambling Control Division, Order to Cease and Desist Illegal Gambling Activities in Montana, letter to KalshiEX, LLC, 26 March 2025 (Exhibit 1 to the complaint)
Montana Department of Justice, Gambling Control Division
Tier 1Accessed 23 Sept 2026Published 26 Mar 2025 - Gambling Control Division, Order to Cease and Desist Illegal Gambling Activities in Montana, letter to KalshiEX, LLC, 6 April 2026 (Exhibit 3 to the complaint)
Montana Department of Justice, Gambling Control Division
Tier 1Accessed 23 Sept 2026Published 6 Apr 2026 - KalshiEX LLC v. Knudsen, Joint stipulation of dismissal (Doc. 35), 17 September 2026
United States District Court for the District of Montana, via CourtListener (RECAP)
Tier 1Accessed 23 Sept 2026Published 17 Sept 2026 - KalshiEX, LLC v. Assad, No. 25-7516 (9th Cir., 28 August 2026), opinion
United States Court of Appeals for the Ninth Circuit
Tier 1Accessed 23 Sept 2026Published 28 Aug 2026 - Gambling Control Division Quarterly Information Summary, FY25 4th quarter ending 30 June 2025
Montana Department of Justice, Gambling Control Division
dojmt.gov refused automated requests (Cloudflare block) on 23 September 2026, so the report was read from the Internet Archive capture of the Division's statistics page made on 11 June 2026.
Archived copyTier 2Accessed 23 Sept 2026 - Gambling Control Division Quarterly Information Summary, FY26 3rd quarter ending 31 March 2026
Montana Department of Justice, Gambling Control Division
dojmt.gov refused automated requests (Cloudflare block) on 23 September 2026, so the report was read from the Internet Archive capture of the Division's statistics page made on 11 June 2026.
Archived copyTier 2Accessed 23 Sept 2026 - Gambling Control Division Biennial Report, fiscal years 2023 and 2024
Montana Department of Justice, Gambling Control Division
dojmt.gov refused automated requests (Cloudflare block) on 23 September 2026, so the report was read from the Internet Archive capture of the Division's statistics page made on 11 June 2026. The report describes the sports tab tax as $1 per card; this record follows 23-5-502(2), which sets $1 for each 100 sports tabs sold.
Archived copyTier 2Accessed 23 Sept 2026 - Montana Lottery Fiscal Year 2025 Annual Report (unaudited), year ended 30 June 2025
Montana Lottery (State Lottery and Sports Wagering Commission)
Unaudited statements. Sports Bet Montana gross gaming revenue in this record is the reported Sports Bet revenue of $66,184,270 less Sports Bet ticket prize expense of $56,417,021, both taken from the statement of revenues and expenses.
Tier 2Accessed 23 Sept 2026 - LC0660 (2027 session), bill draft request
Montana Legislature
Tier 1Accessed 21 Oct 2026 - LC0705 (2027 session), bill draft request
Montana Legislature
Tier 1Accessed 21 Oct 2026 - LC0706 (2027 session), bill draft request
Montana Legislature
Tier 1Accessed 21 Oct 2026 - LC0568 (2027 session), bill draft request
Montana Legislature
Tier 1Accessed 21 Oct 2026