Michigan Statewide Rule
Michigan Sports Betting Restricted To Licensed Casino Operators
Key Facts
- State tax rate
- 8.4% of adjusted gross sports betting receipts
- Minimum bettor age
- 21, with a verified internet sports betting account
- Who can be licensed
- Casino licensees or tribal class III gaming operators only
- Initial license fee
- $100,000, then $50,000 each year after
- Application fee
- $50,000 per operator applicant
- Regulator
- Michigan Gaming Control Board
- License term
- 5 years, renewable if standards are still met
Summary
Michigan legalized internet sports betting under the Lawful Sports Betting Act, but the Michigan Gaming Control Board can license only two kinds of operators: existing commercial casino licensees or Indian tribes running a class III casino in the state. Bettors must hold a verified account and be at least 21. Licensed operators pay an 8.4% tax on adjusted gross sports betting receipts every month.
(1) Internet sports betting may be conducted only to the extent that it is conducted in accordance with this act. (2) An internet sports betting wager received by a sports betting operator or its internet sports betting platform provider is considered to be gambling or gaming that is conducted in the sports betting operator's casino located in this state, regardless of the authorized participant's location at the time the participant initiates or otherwise places the internet sports betting wager.
Full Breakdown
419 (Public Act 149 of 2019), took immediate effect December 20, 2019, and legalized internet and mobile sports wagering statewide, but only through operators the Michigan Gaming Control Board licenses. 404(1)-(2), internet sports betting may be conducted only in accordance with the act, and every wager is legally treated as gambling conducted inside the operator's licensed casino, regardless of where the bettor is physically located when the wager is placed. 226, or to an Indian tribe lawfully conducting class III gaming in a state casino under an approved tribal gaming ordinance.
Each eligible casino licensee or tribe may hold no more than one sports betting operator license, valid for five years and renewable. 406(9) requires a $100,000 fee when the initial license issues, plus $50,000 annually after that. 403(e) only if they hold a valid internet sports betting account and are at least 21 years old. 25% on that operator's sports betting receipts too. 409.
Violations & Penalties
Offering internet sports betting without a Michigan Gaming Control Board license remains illegal gambling. MCL 432.409(2) lets the board investigate unlicensed operators, issue cease-and-desist orders, and seek injunctive relief in court. Licensed operators who break the act or board rules face civil fines the board develops and administers under MCL 432.409(1)(i), and the board can suspend, revoke, restrict, or refuse to renew a sports betting operator license; a denied or disciplined licensee can request a contested-case hearing within 21 days of notice.
Frequently Asked Questions
Who is allowed to operate sports betting in Michigan?
What is the minimum age to place a sports bet in Michigan?
How much tax do Michigan sports betting operators pay?
What happens if someone offers sports betting without a Michigan license?
Sources
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