Tennessee

The Volunteer State joined the list of states with legal sports betting when they launched mobile-only wagering in November 2020. Due to the state’s lack of retail betting facilities, Tennessee’s sports betting scene is strictly online, as there are currently 11 mobile sports betting apps available.

Each state has different rules when it comes to betting on collegiate sports. In Tennessee, bettors are allowed to wager on in-state college like the Tennessee Volunteers, but they cannot bet on individual college player props. Outside of college player props, bettors in TN also do not have the option to bet on politics.

Aside from sports betting, residents of the Volunteer State have the option to use daily fantasy sports apps. While there aren't any racetracks in TN, bettors can use racebooks to legally bet on horse racing in other states.

Online sports betting in The Volunteer State

The process of getting sports betting off the ground in Tennessee went a bit differently than it does in most other states. After PASPA was overturned in 2018, many states rushed to get a sports betting bill passed. Tennessee waited a year until lawmakers introduced HB 0001, which moved through the state's Senate and House without much of a problem.

Based on Tennesse state law, the Governor then had ten days to either sign the bill or veto it. By taking no action, the bill will automatically become law without a signature, and that was the case with the state's sports betting bill. All sports betting in Tennessee is done online. This is not a common layout among states with legalized sports betting, but it has worked quite well for Tennessee.

By November 2020, four mobile sportsbooks were available to accept wagers in the state, including BetMGM, DraftKings, FanDuel, and the lesser-known Action 24/7. Because Tennessee does not have casinos or retail betting locations, these sportsbooks were able to obtain a license without having to partner with a retail facility, which is common amongst most states with sports betting legislation.

The Volunteer State’s mobile betting layout has since expanded from the original four sportsbooks. In total, 11 sports betting apps are now available, and more are expected to join the market over time. Some of these additional operators include SuperBook, ESPN Bet, ZenSports, Betly, and the Hard Rock Sportsbook.

Further expansion of the mobile betting market seems imminent, especially since the Tennessee Sports Wagering Advisory Committee took over the process of granting licenses and overlooking the sports betting industry in 2022.

All legal TN sports betting apps in 2024 (from newest to oldest):

Sports betting & gambling legislation in TN

Tennessee’s sports betting bill requires bettors to be at least 21 years old when looking to place a wager. Enforcing rules such as the gambling age is the job of the Tennessee Sports Wagering Advisory Council.

Since retail betting does not exist in Tennessee, remote registration is 100% legal and the only way to create a mobile betting account in the state. Bettors can create as many mobile betting accounts as they please; they just need to ensure they are within state lines when making a bet. Not only is remote registration fully available to Tennesee bettors, but all gambling winnings in the state are not subject to an income tax, so bettors only need to pay a federal tax of 24% if their winnings exceed $5,000.

In terms of adding more gambling legislation, the Volunteer State does look to be in much of a rush. The discussions of opening up retail betting have been practically non-existent, and the same goes for the potential of the state launching legalized iGaming.

Most recent updates from the TN sports betting scene

• May 3, 2024: For the third time in three years, the Tennessee Volunteers will have a new quarterback under center in Nico Iamaleava, who is currently (+1500) to win the Heisman Trophy.

• May 3, 2024: The Nashville Predators have been eliminated from the 2024 Stanley Cup Playoffs after losing a series 4-2 to the Vancouver Canucks.

• April 25, 2024: With their first pick in the 2024 NFL Draft, the Tennessee Titans selected former Alabama offensive lineman JC Latham.

• November 15, 2023: Peer-to-peer pick ‘em games will now be offered in Tennessee through the Underdog Fantasy app.

• June 29, 2023: Tennessee Titans offensive lineman Nicholas Petit-Frere has been suspended for six games due to gambling violations. The lineman was not wagering on the NFL, but he was wagering on other sports within team facilities.

• June 23, 2023: Starting in July, the state of Tennessee is set to become the first state to tax sportsbook operators based on sports betting handle instead of revenue.

• May 24, 2023: Tennessee's soon-to-be newest sportsbook, ZenSports, will be ditching the idea of a new customer sign-up bonus and instead will be offering cashback on betting handle for the customer's first few days. This style of promo has yet to be attempted in the States.

• March 2, 2023: The Fanatics Sportsbook has received a license to operate in Tennessee, which will make it the 13th mobile sportsbook in the state when it launches.

In-person sports betting sites and locations

The amount of casinos in each state varies drastically, and Tennessee is a state that has never had casinos. Whether tribal or commercial, casinos have never been a part of the Volunteer State. As a result, when sports betting was legalized in Tennessee, it was strictly in mobile form.

This sports betting layout has worked perfectly fine for Tennesee, so the state is unlikely to look into implementing retail sports betting anytime soon.

Sports betting in neighboring states

Tennessee certainly has its fair share of neighboring states, with eight in total. This gives residents five states they can cross the border into and still find legalized sports betting.

The only states travelers won’t find legal sports betting in are Alabama, Georgia, and Missouri. To find out why these states have maintained strict laws on the topic, you can select them in the table below.

Sports betting revenue impact on Tennessee's economy

Online operators must pay an annual fee of $750,000 to obtain and maintain a sports betting license in Tennessee. The tax rate for mobile sportsbooks in the Volunteer State is currently set at 20%. In addition to the usual 20% tax rate, mobile operators must also pay a 1.85% tax on monthly handle. This additional tax stems from the passing of HB 1362, which was passed in 2023.

Although Tennessee only offers mobile sports betting, it is still doing well in sports betting statistics. In 2022 alone, the Volunteer State accumulated just over $4 billion in handle and $68 million in tax income. Tennessee has continually improved its handle, revenue, and tax income numbers on a year-to-year basis.

Vermont and Wyoming are the only other states with mobile betting and no retail betting, but due to their size, they do nowhere near as well as Tennesee in sports betting revenue. For comparison, Wyoming has seen over $410 million in handle since legalizing sports betting, while Tennessee has seen over $12.5 billion.

Tennessee sports betting record months:

• Sports betting handle: November 2023 ($517,141,377)

• Revenue: November 2023 ($51,714,138)

• Tax income: November 2023 ($9,513,707)

TN sports betting revenue in 2024