Arizona applies two separate statutory rates: 10% of adjusted gross event wagering receipts for online/mobile sports wagering and 8% for retail/land-based, plus a 0.25% federal excise tax on handle. Free-bet/promo deductions are capped at 10% of revenue. At 10% online, Arizona is among the lowest-taxed US markets. Governor Hobbs' FY2027 executive budget (Feb 2026) proposes a tiered structure adding a 45% top tier for operators above $75M average monthly revenue — not enacted.
Jurisdictions › Arizona › Tax
Arizona · Question 05 of 11
Tax: What is the tax take?
Favourable · Confirmed · AI-generated · Back to full Arizona report →
Key section parameters
| Jurisdiction | Arizona (US-AZ) |
|---|---|
| Regulator | Recorded in register |
| Favourability | Favourable |
| Confidence | Confirmed |
| Review status | AI-generated |
| Last collected | 18 Oct 2026 |
Summary answer
Arizona applies two separate statutory rates: 10% of adjusted gross event wagering receipts for online/mobile sports wagering and 8% for retail/land-based, plus a 0.25% federal excise tax on handle. Free-bet/promo deductions are capped at 10% of revenue. At 10% online, Arizona is among the lowest-ta…