Skip to content

Despite the Handle Going Up in January, the Tax Revenue Notes a Steep Decline

Published on February 23, 2023
Updated on September 12, 2023
Written by Simon

Top Sports Books

Bonus Bets Expire in 7 Days. One New Customer Offer Only. Add’l terms. Gambling problem? Call 1-800-GAMBLER in CO, DC, IL, IN, KS, LA, MD, MS, NJ, NV, OH, PA, TN, VA, WV, WY. Call 877-8-HOPENY or text HOPENY (467369) (NY). Call 1-800-327-5050 (MA). 21+ to wager. Please Gamble Responsibly. Call 1-800-BETS-OFF (IA), 1-800-270-7117 for confidential help (MI), 1-800-981-0023 (PR). In partnership with Kansas Crossing Casino and Hotel. Visit for Terms & Conditions. US promotional offers not available in DC, Nevada, New York, North Carolina, Ontario or Puerto Rico.
Offer valid and must be physically present in CO, IL, IN, IA, KS, LA, MA, MD, MI, NJ, NY, OH, PA, TN, VA, WV, or WY. 21+. See for full terms. Know When To Stop Before You Start.® Gambling Problem? IL, MD, NJ, OH, TN, VA, WV, PA: If you or someone you know has a gambling problem, crisis counseling and referral services can be accessed by calling 1-800-GAMBLER (1-800-426-2537) or MD: visit or WV: visit; CO, WY, KS: Call 1-800-522-4700; IN: Call 1-800-9-WITH-IT; IA: Call 1-800-BETSOFF; LA: Call 1-877-770-STOP; MI: Call 1-800-270-7117. GAMBLING PROBLEM? Call 1-800-GAMBLER. MA: CALL 1-800-327-5050 or visit NY: Call 877-8-HOPENY or text HOPENY (467369).
Must be 21+ and present in CO, IA, IL, IN, LA, MD, MI, NJ, NY, OH, PA, VA, or WV. Void Where Prohibited. T&C APPLY. If you or someone you know has a gambling problem, Call 1-800-GAMBLER (CO, IL, OH, MD, NJ, PA, WV). Call 1-877-8-HOPENY or Text HOPENY (467369) (NY), 1-800-BETS OFF (IA), 1-800-9-WITH-IT (IN), 1-877-770-STOP (LA), 1-800-270-7117 (MI), 1-888-532-3500 (VA), or visit (MD) and (WV).
GAMBLING PROBLEM? CALL 1-800-GAMBLER (1-800-426-2537) (CO/IL/IN/LA/MD/MI/NJ/OH/PA/TN/VA/WV/WY), (800) 327-5050 or visit (MA). Call 877-8-HOPENY/text HOPENY (467369) (NY). Please Gamble Responsibly. Call 1-800-522-4700 (KS/NH), 888-789-7777/visit (CT), 1-800-BETS OFF (IA), or visit (OR). 21+ (18+ NH/WY). Physically present in CO/CT/IL/IN/IA/KS/LA(select parishes)/MA/MD/MI/NJ/NY/OH/PA/TN/VA/WV/WY only. Void in NH/OR/ONT. Full T&Cs Apply.
21+. T&Cs Apply. Gambling Problem? Call 1-800-GAMBLER
Despite the Handle Going Up in January, the Tax Revenue Notes a Steep Decline

Despite Philadelphia losing the three championship opportunities in MLS, MLB, and NFL, bettors have taken advantage of the sports betting calendar to start January 2023. The Pennsylvania Gaming Control Board reported a monthly handle of $772.3 million.

Handle and Revenue Witness an Inverse Relationship  

The total handle registered a slight increase of 2.3 percent from December’s numbers; however, it’s clear that bringing back the average betting volume in October and November has been challenging. A larger handle to start 2023 didn’t necessarily lead to positive results across the board.

The public fared with better results to start the year. The hold rate noted a decline from 9.4 percent to just 7.5 percent. To put that in perspective, the national average in the industry is slated at 7.2 percent.

The gross revenue figures declined from 71.2 million to just $57.9 million. Following three straight months of declines, promotional credits went up in January, another boost to bettors throughout the Keystone State. Despite a 12 percent increase from December, January’s $18.7 million fell short of September’s $25.1 million

Tax Receipts Weren’t As Strong as the State Had Hoped 

With the lower win rate situation, the taxes collected for the month also registered a decline, to say the least. After factoring in the deductions, the sportsbook operators that accept wagers in Pennsylvania reported an adjusted revenue number of $39.2 million.

The numbers don’t come as a surprise because 92.3 percent of the total wagers accepted for the month came via mobile platforms. The remaining percentage came from brick-and-mortar locations across the state.

The tax receipts collected for the month were the lowest amount that was finalized since the start of the NFL season. The state received $13.3 million in payments from bookmakers, while the local jurisdiction received $785,000.

Which Sportsbooks Found the Most Success in the New Year?

Still, FanDuel remains on the throne by taking 40.5 percent of the overall market share for the month. DraftKings trailed in second place with 26.2 percent of the total. BetMGM rounded out the top three with seven percent and the rest were shared between the other sportsbooks that accept wagers in the state.

Bookmakers not only in Pennsylvania but across the nation will be looking forward to March Madness, which will be starting on March 14th. The average wagering volume is expected to skyrocket after February numbers are reported by the Pennsylvania Gaming Control Board.

The state had a solid 2022 in terms of sports success as a whole but came up short at their respective championship games of the season. Is it possible for a school like Villanova Wildcats or the NBA’s Philadelphia 76ers to bring a much-needed championship to the city? They are in solid positions in their respective seasons to make runs at the titles.

Share this article
Article link copied!
Site Manager

Simon Flynn is a sports bettor with over 10 years experience in building profitable sports trading systems. Specializing in football (the type where players use their feet), he dreams of hitting that elusive 10-game accumulator one day. Editorial Promise