LOUISVILLE, Ky. (WDRB) -- When wager windows open Thursday at sports betting facilities, both Kentuckians and the state itself will be positioned to cash in on the bets.

Retail wagers will begin then, and those sportsbooks will be taxed at 9.75%. When mobile betting launches Sept. 28, those sportsbooks will be taxed at 14.25%.

That taxable revenue that the state will receive is expected to be in the millions by the end of 2023.

Some sports betting experts believe Kentucky will bring in over $30 million tax revenue in 2024, though state lawmakers have projected around $23 million in annual revenue.

"Once the market becomes more mature, the projections are going to look more like $250 million annually in gross gaming revenue revenue by 2027," said Stephen Andress, a betting expert and host of TheLines.com Podcast. "With that in mind, you're looking at more than $30 million a year generated from that."

It's not clear exactly how much Kentuckians will bet in the first month of the launch, but WDRB News looked at gross gaming revenue from surrounding states who recently launched sports betting. Indiana, where sportsbooks are taxed at 9.5%, saw $35.2 million in sports wagers in the first month of betting. However, those numbers only include bets from retail sportsbooks. Mobile betting did not launch for Hoosiers until a month later.

Ohioans wagered $1.1 billion on sports in January of this year when sports betting launched. Sportsbooks are taxed 20%.

Kentucky's numbers will likely be closer to Indiana's.

"Part of that is because you're going to have a three-week period where you only have retail betting and then it launches fully online, which is where the vast majority of any state sports betting revenue comes into play," Andress said.

The money generated from tax revenue will go into the state's pension fund and help establish resources for problem gamblers.

The Kentucky Horse Racing Commission approved seven sports betting operators — which are racetracks and gaming facilities in Kentucky — that will partner with online sportsbooks:

  • Churchill Downs
  • Derby City Gaming
  • Cumberland Run
  • Ellis Park
  • Oak Grove
  • Red Mile
  • Sandy’s Gaming and Racing
  • Turfway Park

Eight service providers, which are the online betting platforms, also had temporary licenses approved by the commission. Many of those providers may be familiar:

  • BetMGM
  • Caesars
  • DraftKings
  • Circa
  • Bet365
  • FanDuel
  • Penn
  • Fanatics

While Kentucky's law allows for bets from anyone 18 and up, it's likely many providers will follow their own regulations for age.

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