DraftKings has followed suit with its US sportsbook rival FanDuel in implementing a wagering transaction fee in Illinois.
Like the Flutter Entertainment brand, DraftKings will now charge US$0.50 for every bet in the state in response to tax changes.
Legislation passed in June will see operators pay $0.25 on every fiscal year wager up to $20m in handle – rising to $0.50 after that.
FanDuel and DraftKings are set to be most affected by the higher threshold and have responded in kind.
“Illinois has been an important part of our growth, and we’re proud to have contributed meaningfully to the state through tax revenue, job creation and a sustained investment in responsible gaming tools and resources,” said Jason Robins, chief executive officer and co-founder of DraftKings.
“We are disappointed that Illinois policymakers have chosen to more than triple our tax rate over the past two years, and we are very concerned about what this will do to the legal, regulated industry.
“Meanwhile, Illinois continues to fuel the rapidly growing illegal industry, which pays no taxes or fees and provides none of the consumer protections that regulated operators offer.”
In 2024, Illinois lawmakers hiked the basic sports betting revenue tax rate for all operators, which moved from 15 per cent to a sliding scale of between 20 per cent and 40 per cent.
