[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"blog-article-illinois-sports-betting-tax-en":3,"mdc-vublkb-key":69},{"id":4,"slug":5,"status":6,"section":7,"category":8,"author":9,"publish_date":10,"read_time":11,"image":12,"embedded_components":13,"related_calculators":13,"related_articles":14,"title":15,"description":16,"keywords":17,"content":26,"faq":27,"availableLocales":64},"5ef1cd56-d013-427f-a2b6-600302e7d9ca","illinois-sports-betting-tax","published","betting","guides","Evgeniy Volkov","2026-03-22",18,"\u002Fimages\u002Fblog\u002Fillinois-sports-betting-tax.webp","[]",[],"Illinois Sports Betting Tax: Rates & Calculator (2026)","Illinois sports betting tax 2026: 4.95% state + 24% federal. New operator rates 20-40%, Chicago's 10.25% city tax. Free calculator.",[18,19,20,21,22,23,24,25],"illinois sports betting tax","illinois gambling tax","illinois gambling winnings tax","chicago sports betting tax","illinois sports betting tax rate","draftkings tax illinois","illinois gambling tax calculator","illinois betting tax 2026","# Illinois Sports Betting Tax: Complete Guide to Rates, Rules & Filing (2026)\n\nPicture this: you're sitting on your couch in Chicago, watching the Bears game on Sunday. Your DraftKings parlay just hit — a \\$5,000 payout from a \\$50 bet. The app shows your balance jumping, but before you start planning how to spend it, one question hits: **how much of this do you actually get to keep?**\n\nThe short answer: after Illinois' 4.95% state tax and federal 24% withholding, you're looking at roughly \\$3,548 in your pocket. But if you placed that bet in Chicago, DraftKings already charged you a \\$0.50 per-wager fee before the bet even settled — and there's more to the story than just two tax rates.\n\nIllinois became one of the most aggressively taxed sports betting markets in the country after SB 1013 took effect in January 2025, raising operator taxes to a progressive 20–40% scale. Then Chicago piled on its own 10.25% city tax in June 2025, sparking a legal battle between the city and state lawmakers that's still playing out in 2026.\n\nThis is the most complete Illinois sports betting tax guide for 2026. We cover the flat 4.95% state rate, the new operator tax brackets, Chicago's controversial city tax, DraftKings and FanDuel specifics, W-2G rules, three real calculation examples, and a free calculator that does all the math for you.\n\n## TL;DR — Illinois Sports Betting Tax Quick Reference\n\n### Key Numbers Every Illinois Bettor Needs\n\n| Detail | Amount \u002F Rule |\n|--------|---------------|\n| **Illinois State Income Tax** | 4.95% flat rate on all gambling winnings |\n| **Federal Withholding** | 24% on net wins over \\$5,000 |\n| **Operator Tax (SB 1013)** | 20–40% progressive on AGR |\n| **Chicago City Tax** | 10.25% on operator revenue |\n| **Per-Wager Fee (Online)** | \\$0.50 per bet |\n| **Per-Wager Fee (In-Person)** | \\$0.25 per bet |\n| **W-2G Threshold (Sports)** | \\$600 at 300:1+ odds |\n| **Resident Filing Form** | IL-1040 |\n| **Nonresident Filing Form** | IL-1040 Schedule NR |\n| **Filing Deadline** | April 15 (matches federal) |\n\nNow that you have the key numbers, let's break down exactly how Illinois' sports betting tax system works — including the operator tax changes and Chicago's controversial add-on that most guides completely miss.\n\n## Illinois Gambling Tax Rates for Players (2026)\n\nUnlike New Jersey or Oklahoma with their progressive brackets, Illinois keeps it simple for individual taxpayers. But \"simple\" doesn't mean \"cheap.\" For an international perspective, [Spain's DGOJ-regulated market taxes gambling winnings](\u002Fblog\u002Fis-gambling-legal-in-spain) at progressive rates from 19% to 47%.\n\n### The 4.95% Flat Rate: How It Works\n\nIllinois charges a **flat 4.95% income tax** on all income — salary, investments, and yes, gambling winnings. There are no brackets to calculate, no phase-outs, no special gambling rate. A \\$500 sports bet win gets taxed at 4.95%. A \\$500,000 jackpot gets taxed at 4.95%.\n\nThis flat rate applies regardless of:\n\n- Your total income level\n- The type of gambling (sports betting, casino, poker, lottery)\n- Whether you won online or in-person\n- Whether you're in Chicago, Springfield, or rural Champaign\n\nThe simplicity is actually an advantage for Illinois bettors compared to states like [New Jersey](\u002Fblog\u002Fnew-jersey-gambling-tax) (progressive 1.4%–10.75%) or [Oklahoma](\u002Fblog\u002Foklahoma-gambling-tax) (graduated 0.25%–4.75%). You always know exactly what your state tax bill will be: **multiply your net winnings by 0.0495.**\n\n### What Gets Taxed: Sports Betting, Casino, Lottery\n\nEvery form of gambling income is taxable in Illinois at the same 4.95% rate:\n\n| Gambling Type | State Tax Rate | W-2G Trigger | Notes |\n|---------------|:--------------:|:------------:|-------|\n| **Sports betting** | 4.95% | \\$600 at 300:1+ | DraftKings, FanDuel, BetMGM |\n| **Casino slots** | 4.95% | \\$2,000 (updated 2025) | Rivers, Hollywood, Hard Rock |\n| **Table games** | 4.95% | None (exempt) | Blackjack, craps, roulette |\n| **Poker tournaments** | 4.95% | \\$5,000 net | Buy-in subtracted |\n| **Illinois Lottery** | 4.95% | \\$600 | Mega Millions, Powerball |\n| **Video gaming terminals** | 4.95% | \\$2,000 | Bars, restaurants, truck stops |\n| **Horse racing** | 4.95% | \\$600 at 300:1+ | Arlington, Hawthorne |\n\nIllinois has over 44,000 video gaming terminals in bars and restaurants statewide — more than any other state. If you hit a \\$2,000+ jackpot on a terminal at your local bar, the same 4.95% state tax and W-2G rules apply.\n\n### Chicago Per-Wager Fee: \\$0.25 In-Person, \\$0.50 Online\n\nHere's the part most tax guides miss entirely. Every sports bet placed in Illinois incurs a **per-wager fee**:\n\n- **\\$0.50** for online\u002Fmobile bets (DraftKings, FanDuel, etc.)\n- **\\$0.25** for in-person\u002Fretail bets (casino sportsbooks)\n\nThis fee is charged by the operator on top of your wager. Place 10 bets per week on DraftKings, and that's \\$5.00 in fees — \\$260 per year. For active bettors placing 5+ bets daily, the annual cost can exceed \\$900.\n\nThe fee applies per individual wager, including each leg of a same-game parlay. A 4-leg SGP technically counts as one wager (\\$0.50), but some operators have interpreted it differently. Check your platform's fee disclosure.\n\n### How Illinois Compares to Other States\n\nIllinois sits in the middle-to-high range for combined gambling tax burden:\n\n| State | State Tax Rate | Gambling Withholding | Operator Tax | Per-Wager Fee |\n|-------|:--------------:|:-------------------:|:------------:|:-------------:|\n| **Illinois** | 4.95% flat | None automatic | 20–40% | \\$0.25–\\$0.50 |\n| **Indiana** | 3.05% flat | None automatic | 9.5% | None |\n| **Iowa** | 3.9%–8.53% | 5% | 6.75% | None |\n| **New York** | 4%–10.9% | 8.82% | 51% | None |\n| **New Jersey** | 1.4%–10.75% | 3% | 13–19.75% | None |\n| **Pennsylvania** | 3.07% flat | 3.07% | 36% | None |\n| **Ohio** | 0%–3.5% | 4% | 20% | None |\n| **Michigan** | 4.05% flat | 4.25% | 8.4% | None |\n| **Louisiana** | 4.25% flat | 3% | 10–15% | None |\n\nFor most bettors earning \\$50K–\\$100K, Illinois' effective tax rate on gambling winnings is moderate — lower than New York or Iowa, but notably higher than Indiana just across the border. The per-wager fee is unique to Illinois and adds a cost that other states don't have. Compare this to how [Pennsylvania handles online gambling](\u002Fblog\u002Fpennsylvania-online-gambling) with its 36% operator tax but no per-wager fees. Just across the river, [Missouri launched sports betting in December 2024](\u002Fblog\u002Fmissouri-sports-betting-news) with a 10% operator tax and no per-wager fees — a stark contrast to Illinois' more complex structure. For a look at how states without legal sports betting are approaching the issue, see our guide to [Georgia's sports betting legal status and DFS alternatives](\u002Fblog\u002Fgeorgia-sports-betting).\n\n## Illinois Operator Tax: The Progressive Structure (SB 1013)\n\nThis is where Illinois gets complicated — and where most competing guides are either outdated or confused. SB 1013, signed by Governor Pritzker and effective January 1, 2025, fundamentally changed how Illinois taxes sports betting operators.\n\n### 2025 Progressive Tax Brackets (20%–40%)\n\n| Adjusted Gross Revenue (AGR) | Tax Rate | Who This Hits |\n|------------------------------|:--------:|---------------|\n| \\$0 – \\$30 million | 20% | Smaller operators |\n| \\$30M – \\$50 million | 25% | Mid-tier operators |\n| \\$50M – \\$100 million | 30% | Large operators |\n| \\$100M – \\$200 million | 35% | Major operators |\n| Over \\$200 million | 40% | DraftKings, FanDuel |\n\nThe tax is **marginal** — like income tax brackets. DraftKings doesn't pay 40% on all revenue, only on revenue exceeding \\$200M. The first \\$30M is still taxed at 20%.\n\n### Before vs After: What Changed\n\n| Category | Old Rate (pre-2025) | New Rate (SB 1013) | Change |\n|----------|:-------------------:|:------------------:|:------:|\n| Sports betting operator tax | 15% flat | 20–40% progressive | +5% to +25% |\n| Estimated additional state revenue | — | \\$200M+ annually | New revenue |\n| Illinois market ranking (tax burden) | Mid-tier | Top 5 nationally | Significant jump |\n\nSB 1013 was driven by two factors: Illinois' budget shortfall and the explosive growth of sports betting revenue (over \\$600M in operator revenue in 2024). Governor Pritzker positioned it as funding for capital improvements — roads, bridges, schools.\n\n### Who Pays: Operators, Not You (But...)\n\nHere's the nuance most articles miss: **you don't directly pay the operator tax.** DraftKings and FanDuel pay 20–40% on their revenue to the state. But operators don't just eat that cost:\n\n1. **Worse odds** — operators may shade lines to increase their hold percentage\n2. **Fewer promotions** — the \\$1,000 first-bet bonuses and profit boosts may shrink\n3. **Per-wager fees** — the \\$0.50 online fee is a direct pass-through of operating costs\n4. **Market exit risk** — PointsBet already sold its US operations; high taxes reduce operator incentive\n\nIllinois bettors who compare odds across states using an [odds converter](\u002Fbetting\u002Fodds-converter) may notice slightly worse lines compared to lower-tax markets like Indiana or Michigan. Understanding [who sets the odds](\u002Fblog\u002Fwho-sets-the-odds-for-sports-betting) helps explain why Illinois lines can be less favorable.\n\n::chart-illinois-sports-betting-tax\n::\n\n## Chicago's 10.25% Sports Betting Tax\n\nAs if the state-level changes weren't enough, the City of Chicago added its own layer in 2025 — and it sparked one of the most contentious tax fights in Illinois politics.\n\n### How Chicago's City Tax Works\n\nOn June 1, 2025, Chicago's **10.25% tax on sports betting operator revenue** took effect. This is a city-level tax on top of the state's 20–40% operator tax. It applies specifically to:\n\n- Sports betting revenue generated within Chicago city limits\n- Both online and retail sportsbooks operating in Chicago\n- Geolocation-verified bets placed within city boundaries\n\nCity officials projected the tax would generate **\\$26.2 million** annually for Chicago. The revenue is directed toward homelessness services and mental health programs.\n\n### The Springfield vs Chicago Legal Battle (2026)\n\nChicago's tax didn't go unchallenged. State lawmakers in Springfield pushed back almost immediately, arguing that:\n\n- Chicago is **double-taxing** an already heavily taxed industry\n- The city tax creates an **uneven playing field** — operators in Chicago pay 30.25–50.25% combined tax vs 20–40% elsewhere in Illinois\n- Bettors in Chicago suburbs can simply drive 20 minutes outside city limits to avoid the fee impact\n- The tax **violates home rule limitations** on duplicating state tax categories\n\nAs of March 2026, the legal challenge is still pending in the courts. Several operators have filed amicus briefs arguing the combined tax burden is unsustainable. The outcome will determine whether other Illinois cities (Aurora, Rockford, Naperville) can impose similar local taxes. For context on how political dynamics shape sports betting, see our analysis of [whether sports betting is rigged](\u002Fblog\u002Fis-sports-betting-rigged) — spoiler: it's not rigged, but the tax structure certainly tilts the economics.\n\n### What the Tax Means for Chicago Bettors\n\nAs a bettor in Chicago, you don't directly pay the 10.25% city tax — operators do. But the indirect effects are measurable:\n\n- **Higher per-wager fees** — Chicago bets may carry additional operator surcharges\n- **Reduced promotional offers** — DraftKings and FanDuel allocate fewer bonus dollars to Chicago-area users\n- **Potential line movement** — operators adjusting margins to offset city tax costs\n- **Geolocation arbitrage** — some bettors drive to suburbs to place larger bets and avoid Chicago-specific costs\n\nThe 15% drop in Illinois sports betting volume after the new taxes took effect (January 2026, per Illinois Gaming Board data) suggests bettors are already responding to the increased cost structure.\n\n## Federal Gambling Tax in Illinois — The 24% Rule\n\nFederal tax is the bigger bite for most Illinois gamblers. It works the same in every state, but understanding the interaction with Illinois' 4.95% makes the total picture clearer.\n\n### When Federal Tax Is Withheld Automatically\n\nFederal 24% withholding kicks in when your **net win** (winnings minus wager) exceeds \\$5,000. The casino, sportsbook, or lottery terminal withholds 24% automatically and issues a W-2G.\n\nCrucial distinction: the \\$5,000 threshold is for *withholding*, not *reporting*. You owe federal tax on ALL gambling winnings regardless of amount. The sportsbook just doesn't withhold automatically on smaller wins.\n\n### W-2G Thresholds by Game Type (Updated 2025)\n\n| Game Type | W-2G Threshold | 24% Federal Withholding | Changed in 2025? |\n|-----------|:--------------:|:-----------------------:|:----------------:|\n| **Slot machines** | \\$2,000 | Over \\$5,000 net | Yes (was \\$1,200) |\n| **Keno** | \\$1,500 | Over \\$5,000 net | No |\n| **Bingo** | \\$2,000 | Over \\$5,000 net | Yes (was \\$1,200) |\n| **Poker tournaments** | \\$5,000 net | Over \\$5,000 net | No |\n| **Sports betting** | \\$600 at 300:1+ odds | Over \\$5,000 net | No |\n| **Table games** | None (exempt) | Cash transaction reporting only | No |\n| **Video gaming terminals** | \\$2,000 | Over \\$5,000 net | Yes (was \\$1,200) |\n\nIf you've ever had a [hand pay at a casino](\u002Fblog\u002Fhand-pay-casino), you've experienced the W-2G process firsthand — the attendant verifies your ID, fills out the form, and withholds applicable taxes.\n\n### 24% Withholding vs Your Actual Federal Rate\n\nThe 24% is a *prepayment*, not your final rate. If your total income puts you in the 22% bracket, you'll get 2% back as a refund. If you're in the 32% bracket, you owe 8% more at filing time.\n\n#### Federal Tax Brackets for Gambling Income (2025–2026)\n\nGambling winnings are taxed as **ordinary income** on your federal return. Your bracket depends on total income (salary + gambling + investments + everything else):\n\n| Federal Bracket (Single) | Rate |\n|--------------------------|:----:|\n| \\$0 – \\$11,925 | 10% |\n| \\$11,926 – \\$48,475 | 12% |\n| \\$48,476 – \\$103,350 | 22% |\n| \\$103,351 – \\$197,300 | 24% |\n| \\$197,301 – \\$250,525 | 32% |\n| \\$250,526 – \\$626,350 | 35% |\n| \\$626,351+ | 37% |\n\nFor a deeper dive on the 90% loss deduction rule and other federal gambling tax nuances, see our [complete guide to gambling tax law](\u002Fblog\u002Fnew-tax-law-gambling-losses).\n\n## DraftKings & FanDuel Tax in Illinois\n\nThe related search \"how much is the tax on DraftKings in Illinois\" is one of the most common questions — and nobody online answers it clearly. Let's fix that.\n\n### How DraftKings Handles Illinois Tax\n\nDraftKings is the largest sportsbook in Illinois by market share. Here's how taxes work on the platform:\n\n**What DraftKings withholds:**\n- **Federal 24%** — automatically on net wins over \\$5,000\n- **Illinois state tax** — DraftKings does NOT automatically withhold Illinois' 4.95%. You pay this at filing time on your IL-1040\n\n**What DraftKings charges:**\n- **\\$0.50 per-wager fee** on every online bet placed in Illinois\n- This fee appears as a line item in your bet slip or is factored into the payout\n\n**What DraftKings provides:**\n- W-2G forms for qualifying wins (Tax Documents section in Settings)\n- Annual win\u002Floss statement (available by January 31)\n- 1099-MISC for certain promotional winnings\n\n### FanDuel Tax Documents and Reporting\n\nFanDuel follows identical tax rules as DraftKings in Illinois — same withholding thresholds, same per-wager fees, same W-2G process. The key difference is where to find your documents:\n\n1. Log into FanDuel → Account → Tax Information\n2. Download your W-2G forms and annual statement\n3. Use the \"Tax Withholding\" section to verify amounts withheld\n\nBoth platforms send copies of W-2G forms to the IRS and the Illinois Department of Revenue. Even if you misplace your copy, the government already has the data.\n\n### The \\$0.50 Per-Bet Fee Explained\n\nThis is Illinois' most misunderstood tax provision. The per-wager fee is **not a tax on your winnings** — it's a fee on the act of placing a bet:\n\n- **Every bet, win or lose** — the fee applies regardless of outcome\n- **Per wager, not per dollar** — a \\$10 bet and a \\$10,000 bet both incur \\$0.50\n- **Operator pass-through** — operators are allowed to pass this cost to bettors\n- **Compounds quickly** — 20 bets\u002Fweek = \\$10\u002Fweek = \\$520\u002Fyear\n\nFor active bettors using [Wong teaser strategies](\u002Fblog\u002Fwong-teaser-strategy-calculator) or placing multiple daily bets, this fee erodes expected value. Factor it into your [bet tracking](\u002Fbetting\u002Fbet-tracker) to understand true costs.\n\n## Tax Calculation Examples: What You Actually Keep\n\nTheory is useful, but let's run real numbers for three common Illinois gambling scenarios.\n\n### Example 1: \\$2,000 Sports Bet Win (Illinois Resident)\n\n**Scenario:** Illinois resident in Naperville, \\$70,000 salary, wins \\$2,000 on a FanDuel NFL parlay (\\$100 bet at 20:1 odds).\n\n| Item | Amount |\n|------|-------:|\n| Gross Win | \\$2,000 |\n| W-2G Required? | No (\\$2,000 > \\$600 but odds 20:1 \u003C 300:1) |\n| Federal Withholding at App? | No (net win \\$1,900 \u003C \\$5,000) |\n| Illinois State Tax (4.95%) | \\$99.00 |\n| Federal Tax (22% bracket) | \\$440.00 |\n| Per-Wager Fee (already charged) | \\$0.50 |\n| **Total Tax** | **\\$539.00** |\n| **Net Payout** | **\\$1,460.50** |\n| **Effective Tax Rate** | **27.0%** |\n\nNo automatic withholding happens — you owe the \\$539 at filing time. Track it in your records because FanDuel won't send a W-2G for this win (odds below 300:1).\n\nUse our [gambling loss calculator](\u002Fcasino\u002Floss-calculator) to track losses that could offset this win.\n\n### Example 2: \\$10,000 DraftKings Win (Chicago Resident)\n\n**Scenario:** Chicago resident, \\$85,000 salary, hits a \\$10,000 payout on a DraftKings same-game parlay (\\$20 bet at 500:1 odds).\n\n| Item | Amount |\n|------|-------:|\n| Gross Win | \\$10,000 |\n| W-2G Required? | Yes (\\$10,000 > \\$600 at 500:1 > 300:1) |\n| Federal Withholding (24% of \\$9,980 net) | \\$2,395.20 |\n| Illinois State Tax (4.95%) | \\$495.00 |\n| Federal Tax (24% bracket, actual) | \\$2,395.20 |\n| Per-Wager Fee (already charged) | \\$0.50 |\n| **Cash Received from DraftKings** | **\\$7,604.80** |\n| **Additional IL Tax at Filing** | **\\$495.00** |\n| **Total Tax (Federal + State)** | **\\$2,890.20** |\n| **Final Net** | **\\$7,109.30** |\n| **Effective Tax Rate** | **28.9%** |\n\nAs a Chicago resident, you pay the same personal tax rate as anyone in Illinois — the 10.25% city tax is on operators, not you. But DraftKings charged you \\$0.50 before the bet even settled.\n\nPlan your bankroll for sessions with our [casino session simulator](\u002Fcasino\u002Fsession-simulator).\n\n### Example 3: \\$50,000 Jackpot at Rivers Casino (Nonresident)\n\n**Scenario:** Indiana resident visiting Rivers Casino in Des Plaines, hits a \\$50,000 slot jackpot.\n\n| Item | Amount |\n|------|-------:|\n| Gross Win | \\$50,000 |\n| W-2G Required? | Yes (\\$50,000 > \\$2,000) |\n| Federal Withholding (24%) | \\$12,000 |\n| Illinois State Tax (4.95%) | \\$2,475 |\n| Indiana State Tax (3.05%) | \\$1,525 |\n| Credit for IL Tax Paid | -\\$1,525 |\n| **Net Indiana Tax** | **\\$0** |\n| **Cash at Casino** | **\\$38,000** |\n| **Additional IL Tax at Filing** | **\\$2,475** |\n| **Total Tax** | **\\$14,475** |\n| **Final Net** | **\\$35,525** |\n| **Effective Tax Rate** | **28.95%** |\n\n#### Cross-State Credit Calculation\n\nAs an Indiana resident winning in Illinois:\n\n1. **At the casino:** Federal 24% withheld automatically\n2. **File IL-1040 Schedule NR:** Report \\$50,000 Illinois-sourced income, pay 4.95% (\\$2,475)\n3. **File Indiana IT-40:** Report \\$50,000, calculate Indiana tax (\\$1,525 at 3.05%)\n4. **Claim credit:** Indiana gives you a credit for taxes paid to Illinois — but only up to the Indiana tax amount (\\$1,525)\n5. **Net result:** You pay the HIGHER of the two state rates (Illinois' 4.95%) plus federal\n\nSince Illinois' rate (4.95%) exceeds Indiana's rate (3.05%), the Indiana credit covers your full Indiana liability. You effectively pay Illinois' rate. If you were a New York resident (top rate 10.9%), you'd owe NY the difference between 10.9% and 4.95%.\n\nModel your expected session results with our [session simulator](\u002Fcasino\u002Fsession-simulator) to plan for tax implications.\n\n::inline-illinois-sports-betting-tax-calculator\n::\n\n## How to File Illinois Gambling Taxes\n\nFiling gambling taxes in Illinois requires coordinating federal and state returns. Here's the step-by-step process.\n\n### Step 1: Gather All W-2G Forms and Records\n\nCollect every W-2G received during the tax year. Online operators (DraftKings, FanDuel, BetMGM) provide these in the Tax Documents section of your account. Also gather:\n\n- Win\u002Floss statements from Illinois casinos (request from the players club at Rivers, Hollywood, Grand Victoria, etc.)\n- Online platform annual statements\n- Personal gambling log (dates, platforms, amounts)\n- Per-wager fee records (for business expense deduction if professional)\n\n### Step 2: Complete Federal Form 1040 (Schedule 1)\n\nReport total gambling winnings on **Schedule 1, Line 8b** (Other Income). This flows to Form 1040, Line 8. If you itemize deductions, gambling losses go on **Schedule A, Line 16** (up to the amount of your winnings).\n\n### Step 3: File IL-1040 (Residents) or IL-1040 Schedule NR (Nonresidents)\n\n**Illinois residents:** File IL-1040. Illinois starts with your federal AGI — gambling income automatically flows through. The 4.95% tax applies to your entire Illinois taxable income including gambling winnings.\n\n**Nonresidents:** File IL-1040 Schedule NR. Report only Illinois-sourced gambling income. Compute the Illinois allocation ratio based on income earned within the state.\n\n#### Deducting Gambling Losses on IL-1040\n\nIllinois allows gambling loss deductions, but the rules differ from some states:\n\n- Losses deductible **only up to the amount of gambling winnings**\n- Must **itemize** on IL-1040 (cannot use standard deduction and claim losses)\n- Keep contemporaneous records: date, venue\u002Fplatform, game type, amounts\n- Online platform win\u002Floss statements are accepted but a personal log strengthens your position\n- **Per-wager fees are NOT deductible** as gambling losses (they're fees, not wagers)\n\nOur [casino habits tracker](\u002Fcasino\u002Fhabits-tracker) helps maintain the documentation Illinois requires for loss deductions. For professional gamblers, understanding how to [make a living from sports betting](\u002Fblog\u002Fcan-you-make-a-living-off-sports-betting) includes mastering the tax implications on Schedule C.\n\n## Penalties for Not Reporting Illinois Gambling Income\n\nThe Illinois Department of Revenue takes unreported gambling income seriously — they receive copies of every W-2G issued at Illinois casinos, racetracks, and online platforms.\n\n### Illinois Department of Revenue Penalty Table\n\n| Violation | Penalty | Additional |\n|-----------|---------|------------|\n| **Late payment** | 2% per month (max 20%) | Plus interest |\n| **Late filing** | 2% per month (max 25%) | Plus interest |\n| **Underpayment of estimated tax** | Annualized penalty | If owed > \\$1,000 |\n| **Failure to file** | 25% of tax due | After 30 days |\n| **Negligence** | 20% of underpaid tax | Per Department audit |\n| **Civil fraud** | 75% of underpaid tax | Most severe penalty |\n| **Interest rate** | Federal underpayment rate | Compounded daily |\n\n### The 3 Most Expensive Illinois Tax Mistakes\n\n**Mistake 1: Thinking the per-wager fee is your only tax.** Some Illinois bettors confuse the \\$0.50 per-wager fee with \"the tax\" and assume they've already paid. The per-wager fee is an operator fee — you still owe 4.95% state income tax plus federal tax on every dollar of winnings.\n\n**Mistake 2: Not tracking cross-platform winnings.** If you bet on DraftKings, FanDuel, BetMGM, and Caesars — each platform tracks independently. You might have \\$1,500 in wins on each (below W-2G threshold per platform) but owe tax on the combined \\$6,000. The IRS and Illinois Department of Revenue may not receive W-2G forms for these amounts, but you're legally required to report them.\n\n**Mistake 3: Assuming you can deduct the per-wager fee.** The \\$0.50 per-bet fee is NOT a gambling loss. It's an operator fee. Casual gamblers cannot deduct it. Only professional gamblers filing on Schedule C can potentially claim it as a business expense — and even then, it's a gray area. If you're evaluating whether professional status makes sense, [understand what handicappers actually earn](\u002Fblog\u002Fwhat-is-a-handicapper-in-sports-betting).\n\n#### Why Video Gaming Terminal Wins Are the Biggest Audit Risk\n\nIllinois has more than 44,000 video gaming terminals (VGTs) in bars, restaurants, and truck stops. Many recreational players hit \\$2,000+ jackpots on these machines without understanding the tax implications. The Illinois Gaming Board tracks every terminal payout — if your W-2G shows a \\$3,000 VGT win but your IL-1040 doesn't include it, expect a letter from the Department of Revenue.\n\nCheck [house edge data](\u002Fcasino\u002Fhouse-edge-calculator) on VGTs vs casino slots — the math might surprise you.\n\n## Illinois vs Other States: Sports Betting Tax Comparison\n\n### State-by-State Betting Tax Comparison Table\n\n| State | Player Tax Rate | Operator Tax | Per-Wager Fee | Key Difference |\n|-------|:--------------:|:------------:|:-------------:|----------------|\n| **Illinois** | 4.95% flat | 20–40% | \\$0.25–\\$0.50 | Highest operator tax + fees |\n| **Indiana** | 3.05% flat | 9.5% | None | [Cheapest neighbor](\u002Fblog\u002Fcan-you-make-a-living-off-sports-betting) |\n| **Iowa** | 3.9%–8.53% | 6.75% | None | Progressive brackets |\n| **Michigan** | 4.05% flat | 8.4% | None | [Michigan gambling tax rates and city tax](\u002Fblog\u002Fmichigan-gambling-tax) |\n| **Ohio** | 0%–3.5% | 20% | None | Low player rate |\n| **New York** | 4%–10.9% | 51% | None | [Highest operator tax](\u002Fblog\u002Fnew-jersey-gambling-tax) nationally |\n| **New Jersey** | 1.4%–10.75% | 13–19.75% | None | [Progressive player brackets](\u002Fblog\u002Fnew-jersey-gambling-tax) |\n| **Pennsylvania** | 3.07% flat | 36% | None | [High operator, low player](\u002Fblog\u002Fpennsylvania-online-gambling) |\n| **Oklahoma** | 0.25%–4.75% | Tribal compact | None | [Graduated brackets](\u002Fblog\u002Foklahoma-gambling-tax) |\n| **Maryland** | 5.75% | 15–20% | None | [8.75% withholding + county surcharge](\u002Fblog\u002Fmaryland-sports-betting-tax) |\n| **Colorado** | 4.4% flat | 10% | None | [Low operator tax, no per-wager fee](\u002Fblog\u002Fcolorado-sports-betting-tax) |\n\nIllinois stands out as the only state combining high operator taxes with per-wager fees. The \\$0.50 online fee is unique nationally. Indiana's dramatically lower rates explain why some Illinois bettors drive across the border for larger wagers — though [Maine's approach to online gambling legalization](\u002Fblog\u002Fmaine-online-gambling) shows how newer markets are learning from Illinois' experience.\n\n## People Also Ask",[28,31,34,37,40,43,46,49,52,55,58,61],{"answer":29,"question":30},"Yes. All sports betting winnings are taxable income in Illinois. You owe 4.95% Illinois state income tax plus federal tax (10-37% depending on your bracket). The casino or app withholds 24% federal on net wins over $5,000 and issues a W-2G form.","Do you have to pay taxes on sports betting in Illinois?",{"answer":32,"question":33},"DraftKings winnings in Illinois are taxed at 4.95% state tax plus your federal rate. DraftKings also charges a $0.50 per-wager fee on online bets (passed from the operator tax). If your net win exceeds $5,000, DraftKings withholds 24% federal tax automatically.","How much is the tax on DraftKings in Illinois?",{"answer":35,"question":36},"No. The 10.25% is Chicago's city-level tax on sports betting operators, not on individual bettors. As a player, you pay Illinois' flat 4.95% state income tax on gambling winnings. The operator tax (20-40% progressive) is separate from your personal tax.","Is Illinois sports betting tax 10%?",{"answer":38,"question":39},"Chicago imposed a 10.25% tax on sports betting revenue effective June 1, 2025. This tax applies to operators (DraftKings, FanDuel, etc.), not directly to bettors. However, operators pass costs through via a $0.50 per-wager fee on online bets placed in Chicago.","What is the Chicago sports betting tax?",{"answer":41,"question":42},"You owe tax on each winning transaction, but you can deduct losses up to the amount of your winnings if you itemize deductions on your IL-1040. You cannot deduct more than you won, and you must keep detailed records of all bets — dates, amounts, platforms.","Do I have to pay taxes on my sports bets if I lost money overall?",{"answer":44,"question":45},"Sports betting wins of $600 or more at odds of 300:1 or greater trigger a W-2G form. Federal 24% withholding kicks in on net wins over $5,000. Illinois does not have a separate state W-2G threshold — it follows federal reporting rules.","What is the W-2G threshold for sports betting in Illinois?",{"answer":47,"question":48},"Yes, but only up to the amount of your winnings. You must itemize deductions on IL-1040. Keep a detailed gambling log with dates, locations, game types, and amounts. Online platform win\u002Floss statements from DraftKings or FanDuel are helpful but a personal log strengthens your claim.","Can I deduct gambling losses on my Illinois tax return?",{"answer":50,"question":51},"Illinois has a 4.95% flat income tax rate on gambling winnings vs Indiana's 3.05%. Federal tax is the same in both states. For a $10,000 win, you'd pay about $190 more in state tax in Illinois. Indiana also has lower operator taxes, making it a more competitive market.","How does Illinois gambling tax compare to Indiana?",{"answer":53,"question":54},"The Illinois Department of Revenue receives copies of all W-2G forms. Penalties include 2% per month late payment (max 20%), plus interest. Fraud penalties can reach 75% of underpaid tax. The Department cross-references W-2G data with IL-1040 returns.","What happens if I don't report sports betting winnings in Illinois?",{"answer":56,"question":57},"Yes. Illinois taxes all gambling winnings earned within the state regardless of residency. File IL-1040 Schedule NR to report Illinois-sourced gambling income. You can claim a credit in your home state for taxes paid to Illinois to avoid double taxation.","Do nonresidents pay Illinois tax on gambling winnings?",{"answer":59,"question":60},"SB 1013 (effective January 1, 2025) created a progressive operator tax: 20% on first $30M AGR, 25% on $30-50M, 30% on $50-100M, 35% on $100-200M, and 40% on revenue over $200M. This replaced the previous flat 15% rate and makes Illinois one of the highest-taxed sports betting markets.","What are the new Illinois operator tax rates under SB 1013?",{"answer":62,"question":63},"The per-wager fee ($0.50 online, $0.25 in-person) was established under Illinois' sports betting regulations. It is charged by operators as a pass-through cost. There is no sunset clause, so it remains in effect until the legislature changes it. The fee applies per individual wager, including each leg of a parlay.","Is the $0.50 per-wager fee on Illinois sports bets permanent?",[65,66,67,68],"ru","en","de","tr",{"data":70,"body":71},{},{"type":72,"children":73},"root",[74,83,95,100,105,110,116,123,310,315,321,335,341,353,358,383,409,415,420,628,633,639,651,674,679,684,690,695,1000,1029,1035,1040,1046,1162,1174,1180,1281,1286,1292,1304,1348,1369,1373,1379,1384,1390,1402,1420,1432,1438,1443,1487,1500,1506,1511,1554,1559,1565,1570,1576,1588,1608,1614,1808,1821,1827,1839,1846,1858,1970,1982,1988,1993,1999,2004,2012,2035,2043,2061,2069,2087,2093,2098,2116,2121,2127,2139,2182,2203,2209,2214,2220,2230,2386,2391,2404,2410,2419,2604,2609,2621,2627,2636,2840,2846,2851,2904,2909,2921,2925,2931,2936,2942,2947,2970,2976,2995,3001,3011,3021,3027,3032,3077,3098,3104,3109,3115,3288,3294,3304,3314,3331,3337,3342,3355,3361,3367,3734,3747],{"type":75,"tag":76,"props":77,"children":79},"element","h2",{"id":78},"illinois-sports-betting-tax-complete-guide-to-rates-rules-filing-2026",[80],{"type":81,"value":82},"text","Illinois Sports Betting Tax: Complete Guide to Rates, Rules & Filing (2026)",{"type":75,"tag":84,"props":85,"children":86},"p",{},[87,89],{"type":81,"value":88},"Picture this: you're sitting on your couch in Chicago, watching the Bears game on Sunday. Your DraftKings parlay just hit — a $5,000 payout from a $50 bet. The app shows your balance jumping, but before you start planning how to spend it, one question hits: ",{"type":75,"tag":90,"props":91,"children":92},"strong",{},[93],{"type":81,"value":94},"how much of this do you actually get to keep?",{"type":75,"tag":84,"props":96,"children":97},{},[98],{"type":81,"value":99},"The short answer: after Illinois' 4.95% state tax and federal 24% withholding, you're looking at roughly $3,548 in your pocket. But if you placed that bet in Chicago, DraftKings already charged you a $0.50 per-wager fee before the bet even settled — and there's more to the story than just two tax rates.",{"type":75,"tag":84,"props":101,"children":102},{},[103],{"type":81,"value":104},"Illinois became one of the most aggressively taxed sports betting markets in the country after SB 1013 took effect in January 2025, raising operator taxes to a progressive 20–40% scale. Then Chicago piled on its own 10.25% city tax in June 2025, sparking a legal battle between the city and state lawmakers that's still playing out in 2026.",{"type":75,"tag":84,"props":106,"children":107},{},[108],{"type":81,"value":109},"This is the most complete Illinois sports betting tax guide for 2026. We cover the flat 4.95% state rate, the new operator tax brackets, Chicago's controversial city tax, DraftKings and FanDuel specifics, W-2G rules, three real calculation examples, and a free calculator that does all the math for you.",{"type":75,"tag":76,"props":111,"children":113},{"id":112},"tldr-illinois-sports-betting-tax-quick-reference",[114],{"type":81,"value":115},"TL;DR — Illinois Sports Betting Tax Quick Reference",{"type":75,"tag":117,"props":118,"children":120},"h3",{"id":119},"key-numbers-every-illinois-bettor-needs",[121],{"type":81,"value":122},"Key Numbers Every Illinois Bettor Needs",{"type":75,"tag":124,"props":125,"children":126},"table",{},[127,145],{"type":75,"tag":128,"props":129,"children":130},"thead",{},[131],{"type":75,"tag":68,"props":132,"children":133},{},[134,140],{"type":75,"tag":135,"props":136,"children":137},"th",{},[138],{"type":81,"value":139},"Detail",{"type":75,"tag":135,"props":141,"children":142},{},[143],{"type":81,"value":144},"Amount \u002F Rule",{"type":75,"tag":146,"props":147,"children":148},"tbody",{},[149,166,182,198,214,230,246,262,278,294],{"type":75,"tag":68,"props":150,"children":151},{},[152,161],{"type":75,"tag":153,"props":154,"children":155},"td",{},[156],{"type":75,"tag":90,"props":157,"children":158},{},[159],{"type":81,"value":160},"Illinois State Income Tax",{"type":75,"tag":153,"props":162,"children":163},{},[164],{"type":81,"value":165},"4.95% flat rate on all gambling winnings",{"type":75,"tag":68,"props":167,"children":168},{},[169,177],{"type":75,"tag":153,"props":170,"children":171},{},[172],{"type":75,"tag":90,"props":173,"children":174},{},[175],{"type":81,"value":176},"Federal Withholding",{"type":75,"tag":153,"props":178,"children":179},{},[180],{"type":81,"value":181},"24% on net wins over $5,000",{"type":75,"tag":68,"props":183,"children":184},{},[185,193],{"type":75,"tag":153,"props":186,"children":187},{},[188],{"type":75,"tag":90,"props":189,"children":190},{},[191],{"type":81,"value":192},"Operator Tax (SB 1013)",{"type":75,"tag":153,"props":194,"children":195},{},[196],{"type":81,"value":197},"20–40% progressive on AGR",{"type":75,"tag":68,"props":199,"children":200},{},[201,209],{"type":75,"tag":153,"props":202,"children":203},{},[204],{"type":75,"tag":90,"props":205,"children":206},{},[207],{"type":81,"value":208},"Chicago City Tax",{"type":75,"tag":153,"props":210,"children":211},{},[212],{"type":81,"value":213},"10.25% on operator revenue",{"type":75,"tag":68,"props":215,"children":216},{},[217,225],{"type":75,"tag":153,"props":218,"children":219},{},[220],{"type":75,"tag":90,"props":221,"children":222},{},[223],{"type":81,"value":224},"Per-Wager Fee (Online)",{"type":75,"tag":153,"props":226,"children":227},{},[228],{"type":81,"value":229},"$0.50 per bet",{"type":75,"tag":68,"props":231,"children":232},{},[233,241],{"type":75,"tag":153,"props":234,"children":235},{},[236],{"type":75,"tag":90,"props":237,"children":238},{},[239],{"type":81,"value":240},"Per-Wager Fee (In-Person)",{"type":75,"tag":153,"props":242,"children":243},{},[244],{"type":81,"value":245},"$0.25 per bet",{"type":75,"tag":68,"props":247,"children":248},{},[249,257],{"type":75,"tag":153,"props":250,"children":251},{},[252],{"type":75,"tag":90,"props":253,"children":254},{},[255],{"type":81,"value":256},"W-2G Threshold (Sports)",{"type":75,"tag":153,"props":258,"children":259},{},[260],{"type":81,"value":261},"$600 at 300:1+ odds",{"type":75,"tag":68,"props":263,"children":264},{},[265,273],{"type":75,"tag":153,"props":266,"children":267},{},[268],{"type":75,"tag":90,"props":269,"children":270},{},[271],{"type":81,"value":272},"Resident Filing Form",{"type":75,"tag":153,"props":274,"children":275},{},[276],{"type":81,"value":277},"IL-1040",{"type":75,"tag":68,"props":279,"children":280},{},[281,289],{"type":75,"tag":153,"props":282,"children":283},{},[284],{"type":75,"tag":90,"props":285,"children":286},{},[287],{"type":81,"value":288},"Nonresident Filing Form",{"type":75,"tag":153,"props":290,"children":291},{},[292],{"type":81,"value":293},"IL-1040 Schedule NR",{"type":75,"tag":68,"props":295,"children":296},{},[297,305],{"type":75,"tag":153,"props":298,"children":299},{},[300],{"type":75,"tag":90,"props":301,"children":302},{},[303],{"type":81,"value":304},"Filing Deadline",{"type":75,"tag":153,"props":306,"children":307},{},[308],{"type":81,"value":309},"April 15 (matches federal)",{"type":75,"tag":84,"props":311,"children":312},{},[313],{"type":81,"value":314},"Now that you have the key numbers, let's break down exactly how Illinois' sports betting tax system works — including the operator tax changes and Chicago's controversial add-on that most guides completely miss.",{"type":75,"tag":76,"props":316,"children":318},{"id":317},"illinois-gambling-tax-rates-for-players-2026",[319],{"type":81,"value":320},"Illinois Gambling Tax Rates for Players (2026)",{"type":75,"tag":84,"props":322,"children":323},{},[324,326,333],{"type":81,"value":325},"Unlike New Jersey or Oklahoma with their progressive brackets, Illinois keeps it simple for individual taxpayers. But \"simple\" doesn't mean \"cheap.\" For an international perspective, ",{"type":75,"tag":327,"props":328,"children":330},"a",{"href":329},"\u002Fblog\u002Fis-gambling-legal-in-spain",[331],{"type":81,"value":332},"Spain's DGOJ-regulated market taxes gambling winnings",{"type":81,"value":334}," at progressive rates from 19% to 47%.",{"type":75,"tag":117,"props":336,"children":338},{"id":337},"the-495-flat-rate-how-it-works",[339],{"type":81,"value":340},"The 4.95% Flat Rate: How It Works",{"type":75,"tag":84,"props":342,"children":343},{},[344,346,351],{"type":81,"value":345},"Illinois charges a ",{"type":75,"tag":90,"props":347,"children":348},{},[349],{"type":81,"value":350},"flat 4.95% income tax",{"type":81,"value":352}," on all income — salary, investments, and yes, gambling winnings. There are no brackets to calculate, no phase-outs, no special gambling rate. A $500 sports bet win gets taxed at 4.95%. A $500,000 jackpot gets taxed at 4.95%.",{"type":75,"tag":84,"props":354,"children":355},{},[356],{"type":81,"value":357},"This flat rate applies regardless of:",{"type":75,"tag":359,"props":360,"children":361},"ul",{},[362,368,373,378],{"type":75,"tag":363,"props":364,"children":365},"li",{},[366],{"type":81,"value":367},"Your total income level",{"type":75,"tag":363,"props":369,"children":370},{},[371],{"type":81,"value":372},"The type of gambling (sports betting, casino, poker, lottery)",{"type":75,"tag":363,"props":374,"children":375},{},[376],{"type":81,"value":377},"Whether you won online or in-person",{"type":75,"tag":363,"props":379,"children":380},{},[381],{"type":81,"value":382},"Whether you're in Chicago, Springfield, or rural Champaign",{"type":75,"tag":84,"props":384,"children":385},{},[386,388,394,396,402,404],{"type":81,"value":387},"The simplicity is actually an advantage for Illinois bettors compared to states like ",{"type":75,"tag":327,"props":389,"children":391},{"href":390},"\u002Fblog\u002Fnew-jersey-gambling-tax",[392],{"type":81,"value":393},"New Jersey",{"type":81,"value":395}," (progressive 1.4%–10.75%) or ",{"type":75,"tag":327,"props":397,"children":399},{"href":398},"\u002Fblog\u002Foklahoma-gambling-tax",[400],{"type":81,"value":401},"Oklahoma",{"type":81,"value":403}," (graduated 0.25%–4.75%). You always know exactly what your state tax bill will be: ",{"type":75,"tag":90,"props":405,"children":406},{},[407],{"type":81,"value":408},"multiply your net winnings by 0.0495.",{"type":75,"tag":117,"props":410,"children":412},{"id":411},"what-gets-taxed-sports-betting-casino-lottery",[413],{"type":81,"value":414},"What Gets Taxed: Sports Betting, Casino, Lottery",{"type":75,"tag":84,"props":416,"children":417},{},[418],{"type":81,"value":419},"Every form of gambling income is taxable in Illinois at the same 4.95% rate:",{"type":75,"tag":124,"props":421,"children":422},{},[423,450],{"type":75,"tag":128,"props":424,"children":425},{},[426],{"type":75,"tag":68,"props":427,"children":428},{},[429,434,440,445],{"type":75,"tag":135,"props":430,"children":431},{},[432],{"type":81,"value":433},"Gambling Type",{"type":75,"tag":135,"props":435,"children":437},{"align":436},"center",[438],{"type":81,"value":439},"State Tax Rate",{"type":75,"tag":135,"props":441,"children":442},{"align":436},[443],{"type":81,"value":444},"W-2G Trigger",{"type":75,"tag":135,"props":446,"children":447},{},[448],{"type":81,"value":449},"Notes",{"type":75,"tag":146,"props":451,"children":452},{},[453,479,504,529,554,579,604],{"type":75,"tag":68,"props":454,"children":455},{},[456,464,469,474],{"type":75,"tag":153,"props":457,"children":458},{},[459],{"type":75,"tag":90,"props":460,"children":461},{},[462],{"type":81,"value":463},"Sports betting",{"type":75,"tag":153,"props":465,"children":466},{"align":436},[467],{"type":81,"value":468},"4.95%",{"type":75,"tag":153,"props":470,"children":471},{"align":436},[472],{"type":81,"value":473},"$600 at 300:1+",{"type":75,"tag":153,"props":475,"children":476},{},[477],{"type":81,"value":478},"DraftKings, FanDuel, BetMGM",{"type":75,"tag":68,"props":480,"children":481},{},[482,490,494,499],{"type":75,"tag":153,"props":483,"children":484},{},[485],{"type":75,"tag":90,"props":486,"children":487},{},[488],{"type":81,"value":489},"Casino slots",{"type":75,"tag":153,"props":491,"children":492},{"align":436},[493],{"type":81,"value":468},{"type":75,"tag":153,"props":495,"children":496},{"align":436},[497],{"type":81,"value":498},"$2,000 (updated 2025)",{"type":75,"tag":153,"props":500,"children":501},{},[502],{"type":81,"value":503},"Rivers, Hollywood, Hard Rock",{"type":75,"tag":68,"props":505,"children":506},{},[507,515,519,524],{"type":75,"tag":153,"props":508,"children":509},{},[510],{"type":75,"tag":90,"props":511,"children":512},{},[513],{"type":81,"value":514},"Table games",{"type":75,"tag":153,"props":516,"children":517},{"align":436},[518],{"type":81,"value":468},{"type":75,"tag":153,"props":520,"children":521},{"align":436},[522],{"type":81,"value":523},"None (exempt)",{"type":75,"tag":153,"props":525,"children":526},{},[527],{"type":81,"value":528},"Blackjack, craps, roulette",{"type":75,"tag":68,"props":530,"children":531},{},[532,540,544,549],{"type":75,"tag":153,"props":533,"children":534},{},[535],{"type":75,"tag":90,"props":536,"children":537},{},[538],{"type":81,"value":539},"Poker tournaments",{"type":75,"tag":153,"props":541,"children":542},{"align":436},[543],{"type":81,"value":468},{"type":75,"tag":153,"props":545,"children":546},{"align":436},[547],{"type":81,"value":548},"$5,000 net",{"type":75,"tag":153,"props":550,"children":551},{},[552],{"type":81,"value":553},"Buy-in subtracted",{"type":75,"tag":68,"props":555,"children":556},{},[557,565,569,574],{"type":75,"tag":153,"props":558,"children":559},{},[560],{"type":75,"tag":90,"props":561,"children":562},{},[563],{"type":81,"value":564},"Illinois Lottery",{"type":75,"tag":153,"props":566,"children":567},{"align":436},[568],{"type":81,"value":468},{"type":75,"tag":153,"props":570,"children":571},{"align":436},[572],{"type":81,"value":573},"$600",{"type":75,"tag":153,"props":575,"children":576},{},[577],{"type":81,"value":578},"Mega Millions, Powerball",{"type":75,"tag":68,"props":580,"children":581},{},[582,590,594,599],{"type":75,"tag":153,"props":583,"children":584},{},[585],{"type":75,"tag":90,"props":586,"children":587},{},[588],{"type":81,"value":589},"Video gaming terminals",{"type":75,"tag":153,"props":591,"children":592},{"align":436},[593],{"type":81,"value":468},{"type":75,"tag":153,"props":595,"children":596},{"align":436},[597],{"type":81,"value":598},"$2,000",{"type":75,"tag":153,"props":600,"children":601},{},[602],{"type":81,"value":603},"Bars, restaurants, truck stops",{"type":75,"tag":68,"props":605,"children":606},{},[607,615,619,623],{"type":75,"tag":153,"props":608,"children":609},{},[610],{"type":75,"tag":90,"props":611,"children":612},{},[613],{"type":81,"value":614},"Horse racing",{"type":75,"tag":153,"props":616,"children":617},{"align":436},[618],{"type":81,"value":468},{"type":75,"tag":153,"props":620,"children":621},{"align":436},[622],{"type":81,"value":473},{"type":75,"tag":153,"props":624,"children":625},{},[626],{"type":81,"value":627},"Arlington, Hawthorne",{"type":75,"tag":84,"props":629,"children":630},{},[631],{"type":81,"value":632},"Illinois has over 44,000 video gaming terminals in bars and restaurants statewide — more than any other state. If you hit a $2,000+ jackpot on a terminal at your local bar, the same 4.95% state tax and W-2G rules apply.",{"type":75,"tag":117,"props":634,"children":636},{"id":635},"chicago-per-wager-fee-025-in-person-050-online",[637],{"type":81,"value":638},"Chicago Per-Wager Fee: $0.25 In-Person, $0.50 Online",{"type":75,"tag":84,"props":640,"children":641},{},[642,644,649],{"type":81,"value":643},"Here's the part most tax guides miss entirely. Every sports bet placed in Illinois incurs a ",{"type":75,"tag":90,"props":645,"children":646},{},[647],{"type":81,"value":648},"per-wager fee",{"type":81,"value":650},":",{"type":75,"tag":359,"props":652,"children":653},{},[654,664],{"type":75,"tag":363,"props":655,"children":656},{},[657,662],{"type":75,"tag":90,"props":658,"children":659},{},[660],{"type":81,"value":661},"$0.50",{"type":81,"value":663}," for online\u002Fmobile bets (DraftKings, FanDuel, etc.)",{"type":75,"tag":363,"props":665,"children":666},{},[667,672],{"type":75,"tag":90,"props":668,"children":669},{},[670],{"type":81,"value":671},"$0.25",{"type":81,"value":673}," for in-person\u002Fretail bets (casino sportsbooks)",{"type":75,"tag":84,"props":675,"children":676},{},[677],{"type":81,"value":678},"This fee is charged by the operator on top of your wager. Place 10 bets per week on DraftKings, and that's $5.00 in fees — $260 per year. 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