WILMINGTON, N.C. (WECT) – It’s been just over one year since mobile sports wagering officially became legal in North Carolina, and so far, results show support from bettors, the state and gambling companies.
“It’s been a universally good thing for the state,” said Pat Ryan, a spokesperson for the Sports Betting Alliance, which works with the four largest sports gambling operators.
Over $6 billion has been wagered in North Carolina since March 11, 2024 – the date it became legalized – and the state has brought in roughly double the tax revenue initially projected, bringing in around $130 million over the last 12 months.
This March should fuel another hot month for betting numbers, experts say, especially with multiple North Carolina schools — including UNCW — playing in March Madness.
“Initially, projections from the [state] legislators’ economists were that sports wagering would take until year four to generate something like $120 million a year,” Ryan said. “The industry has already eclipsed that – just in year one.”
Those numbers have invited a number of different impacts, good and bad, experts said. The tax revenue has helped state universities, but higher numbers also mean residents have to pay higher income taxes of their own. Calls to the state’s gambling hotline have also skyrocketed over the last year, data shows.
The tax revenue has helped fund different programs around the state, namely athletic departments at 13 different smaller universities – including UNC Wilmington. Those schools have brought in an additional $2 million over the last year; at UNCW that’s helped pay for facility renovations, including expediting an overhaul of the Seahawks’ baseball field.
“It’s a wonderful thing for us,” athletic director Mike Oblinger said in December. “Anytime you can have additional revenue streams – whether you’re enhancing revenue streams or developing new ones – it’s obviously very important to what we’re trying to do here.”
The revenue has also gone toward North Carolina amateur sports ($1 million), and to the state Department of Health and Human Services to treat gambling addictions.
Data provided by DHHS shows the number of calls to the state’s gambling hotline have jumped over the last year, going from 895 in 2023 to 1,288 in 2024. That jump, of nearly 44%, made last year the single-highest year for hotline calls dating back to least 2009.
“Sports betting usually starts as a form of entertainment but, for some, can become problematic,” a NCDHHS spokesperson said in an email. “Our goal remains that anyone who wants or needs help has access to quality and consistent care and services.”
The state is working with partners to limit gambling problem numbers, NCDHHS said, and are researching to better understand the need. The state offers counseling and peer support, and have a partnership with EPIC Risk Management – an NCAA-funded organization – to educate college students about the risks of sports betting.
“Responsible gambling tools should be used the same way people who go out in the sun use sunscreen, as protective factors to mitigate harms,” they said.
This is also the first year people in North Carolina have to report their sports gambling winnings on their taxes, just like with any other form of income, even if winnings total less than $600.
While at the federal level there’s an itemized dedication that can essentially cancel out winnings and losses – limiting the amount of taxes you may have to pay – North Carolina is one of the few states without that deduction in their tax law, according to NC State Professor Nathan Goldman.
That means if you placed two bets on UNCW’s NCAA Tournament game against Texas Tech, for example, and won $20 on one but lost $20 on another, you would still have to report the income – despite not actually netting a profit.
“I think people are totally gonna be blindsided by this,” Goldman said.
State legislators, though, are working to change that, with House Bill 14 working its way through the state house with bipartisan support. It’s a change that’s needed to get North Carolina on equal footing with most other states, Goldman said.
“Taxpayers are gonna face this unjust, uncertain, unexpected tax liability long after their activities are taking place,” Goldman said.
Year two numbers will likely reflect continued enthusiasm in sports betting in North Carolina, experts said. And the next 12 months should get off to a strong start with the NCAA Tournament – consistently a major stretch for sports gambling numbers – beginning this week.
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