Tennessee’s sports betting market saw a solid uptick in April 2025, recording a 21.7% increase in total gross handle compared to the same month last year. Bettors in the Volunteer State staked $463.6 million during the month, significantly up from $380.9 million in April 2024, according to data from the Tennessee Sports Wagering Council. 6j5m3v
However, April’s numbers reflect a slowdown from March’s performance, when the handle reached $548.6 million. That’s a 15.5% month-over-month decline, a dip that’s likely influenced by the seasonal ebb in the sports calendar as the NCAA basketball tournament wraps and fewer major sporting events dominate the betting landscape.
Including approximately $3 million in undisclosed adjustments, the April handle reaches a slightly higher $466.5 million, still following the same year-over-year growth trend, but also reflecting the same month-on-month decline from March.
Tennessee’s Unique Tax Model Yields $8.6M in April 6e4i4u
Tennessee is the only state in the U.S. that taxes sports betting based on handle rather than operator revenue. Since July 2023, licensed operators are taxed at a flat rate of 1.85% of total betting handle, regardless of how much they actually earn in profit. This model contributed $8.6 million in privilege tax revenue for the state in April alone.
While this approach provides the state with predictable tax income regardless of operator margins, it also places Tennessee in a distinct category compared to other jurisdictions that use gross gaming revenue (GGR) as their tax base. Critics argue this structure can penalize operators during low-margin months, but the state continues to stand by the system, especially when monthly handles are rising year-over-year.
The Tennessee Sports Wagering Council does not release detailed revenue figures or breakdowns by operator, so it’s difficult to assess how each platform performed individually or what their profit margins were.
11 Operators Fuel Competitive Market 1d4b7
Tennessee’s sports betting industry remains exclusively online, with no retail sportsbooks permitted under state law. Since launching its first sportsbooks in November 2020, the market has grown steadily. Today, 11 online platforms are operational and accepting bets in the state.
Major national brands such as FanDuel, BetMGM, Caesars, Fanatics Sportsbook, ESPN Bet, bet365, Bally Bet, and Hard Rock Bet are active. They are ed by Betly, ZenSports, and the local Tennessee Action 24/7, giving bettors a wide variety of options for placing wagers.
This competitive lineup means Tennessee bettors can benefit from frequent promotions, competitive odds, and a variety of market offerings, especially around major events like the Super Bowl, March Madness, and the NFL season.
A Look Ahead 4r3240
With the NFL Draft behind us and baseball season heating up, sports betting activity could see modest gains through the summer, but traditionally, Q2 and Q3 are slower periods for sportsbooks. The real test will come in September, when college football and the NFL kick off, and betting activity typically surges.
Still, the year-over-year increase in April reflects continued growth and interest in regulated sports betting in Tennessee. If this pace keeps up, the state could be on track to sur its 2024 full-year handle total, assuming no major disruptions or regulatory changes.
The monthly dip from March is expected and typical in the post-March Madness period, but maintaining a 20%+ year-over-year increase signals that Tennessee’s market is far from plateauing.
Summary Stats – Tennessee Sports Betting, April 2025:
Gross Handle: $463.6 million
Adjusted Gross Handle (with undisclosed additions): $466.5 million
YoY Growth: +21.7%
MoM Change: -15.5%
Privilege Tax Revenue: $8.6 million
Tax Rate: 1.85% of gross handle
Licensed Operators: 11
Betting Format: Online-only
As the market matures and competition between operators intensifies, Tennessee’s unique tax model and online-only landscape will continue to be key storylines to watch. For now, all eyes will be on summer betting trends and whether the state can sustain this impressive annual growth through traditionally slower months.
