North Carolina Handle Surpasses $500 Million Again in August

A tax hike hasn’t slowed down North Carolina’s red-hot sports betting market.

The North Carolina State Lottery Commission has released its sports betting revenue report for August, and the numbers were impressive. It saw $520.5 million in wagers for the month, marking the 12th consecutive month it has surpassed $500 million. 

The busy month led to $11.2 million for the state, which raised its tax rate to 23% earlier this year.

NC Finishes the Summer Strong

Like other US betting states, North Carolina enjoyed a massive boost in handle during the 2026 World Cup. This helped things stay hot during July, which is traditionally among the slowest betting times of the year. 

While the tournament ended in July, that success didn’t slow down in August. Although North Carolina doesn't have an MLB team, bettors still placed over $500 million in bets during the month.

That summer success will pay off in a big way as the state enters the busiest sports betting season of the year. 

Tax Hikes Paying Off

On July 1, North Carolina officially raised the tax rate for sportsbooks from 18% to 23%. The state had originally considered larger increases, but ultimately agreed upon a more modest hike. 

The latest revenue report from the NCSLC shows that the move has literally paid off. 

In August 2025, North Carolina saw just $9.7 million in sports betting tax revenue on a $480 million handle. One year later, the state saw $11.2 million in tax revenue from $520.5 million in wagers. This not only shows the boost to tax revenue, but also indicates the tax hike hasn’t stopped the market from growing.

Could Another Tax Hike Be Coming?

While state lawmakers agreed on the 5% tax increase, there was strong support for a double-digit hike. They argued that other markets in the region have set far higher rates, ensuring states get their fair share from the profitable industry.

Passing another hike in 2027 would result in fierce opposition from sportsbooks and their lobby groups, but they wouldn’t be the first state to do so.

Illinois raised its tax rate in 2024, and then added a per-wager tax one year later. This greatly increased costs for operators, who increased bet minimums and added fees to pass it on to users. While this led to a drop in handle, the revenue for sportsbooks and the state has remained strong.

With pressure building to increase funding to fight problem gambling, more lawmakers may be willing to entertain a second hike in 2027.