Kentucky sports betting laws explained
The final amended version of HB 551 contains all of the details of the newly created Kentucky sports betting laws.
There are provisions that protect the players, and all of the details have been spelled out. The next step was to implement the practically applicable structure that will be utilized.
The KHRC and Governor Beshear consulted with regulators and governors in states that have already legalized sports betting to gain insight. As a result, the guidelines are similar to the frameworks we have seen elsewhere.
There are nine horse racing tracks that hold gaming licenses in Kentucky. As we have stated, each of them can obtain a sports betting license as well. They can also enter into partnerships with as many as three online sports betting platforms or “skins.”
This means there could potentially be 27 sports betting sites in Kentucky. However, this is highly unlikely because it is difficult to compete with the operators that are at the top of the food chain.
There is a 9.75% state excise tax on in-person betting and a 14.25% rate for online sports betting in Kentucky. In addition, there is an initial $500,000 licensing fee for each track, along with a $50,000 renewal charge.
Operators (FanDuel, DraftKings, etc.) that will be engaged by the tracks pay $50,000 for a license, and they will also pay a $10,000 renewal fee.
Kentucky is deviating from the pack when it comes to the age for legal sports betting. Under Kentucky gambling laws, you have to be at least 18 to play the lottery or bet the horses.
They have extended this threshold to sports betting as well, so 18-year-olds can place sports wagers; however, there are some sportsbooks which will still require a 21+ age to place a bet.