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Arizona Sports Betting Sees Slight Decline in December

Lou Monaco

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Publish Date: Feb 23, 2026

Fact checked by: Sara Jane Gamelli

Key Points

The Arizona Department of Gaming (ADG) released official December 2025 sports wagering figures.
State bettors wagered $822 million.
This shows a slight 3% decrease from Dec. 2024.

The Grand Canyon State saw a slight decline in sports betting to end last year.

The Arizona Department of Gaming (ADG) released official monthly sports betting figures for December 2025 on Friday, Feb. 20 as the state's bettors wagered approx. $822 million, a slight 3% decrease from Dec. 2024.

“Today’s report closes out the 2025 calendar year for Arizona sports betting figures, with the year exceeding nine billion dollars in event wagering activity,” said Jackie Johnson, Department Director in a news release. “Additionally, legal, regulated event wagering allowed the state of Arizona to collect more than $53 million in privilege fees for the calendar year.”

The state collected approx. $6.6 million in privilege fees for the month.

FanDuel Sportsbook topped the month with more than $252.7 million, with DraftKings a close second at $240.7 million, plus a retail handle of more than $4.49 million. BetMGM rounded out the top three, just missing out on the $100 million mark, coming in at $99.35 million.

Since the launch of legal sports betting in the state (April 2021), bettors have wagered over $31 billion, generating over $165 million in state privilege fees.

For fiscal year 2026 year-to-date, regulated event wagering and fantasy sports have generated approximately $33 million in privilege fees, including $32.3 million from event wagering and $774,167 from fantasy sports.

Brayden Burries #5 of the Arizona Wildcats brings the ball up court against AJ Dybantsa #3 of the Brigham Young Cougars in the first half at the Marriott Center on January 26, 2026 in Provo, Utah.

(Photo by Chris Gardner/Getty Images)

Changes Could Be Coming

In her fiscal year 2027 executive budget proposal (released on Jan. 16), Governor Katie Hobbs is seeking to adjust the sports betting tax structure.

Since launch, all sports book operators abide by a a 10% tax rate, but under the new proposal by Hobbs, is suggesting a tiered tax system.

Under the plan, operators with a monthly revenue average below $75 million would continue to pay a 10% tax for online operations and 8% for retail. Revenues exceeding the $75 million mark would incur an astounding 45% tax rate.

Tribal operators would remain unaffected by these proposed changes.

If passed, the FY 2027 budget would begin on July 1.

As of today (Feb. 23), no have been no major new developments beyond the proposal release and initial reactions.

Looking for more news and updates? Head over to our Ballislife Play page.

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