bet365 has introduced a 25-cent surcharge on wagers under $10 in Illinois, becoming the latest sportsbook to adjust to the state’s new per-bet tax structure. The fee, which is refunded if a wager is voided or canceled, aligns with similar moves by competitors as operators adapt their pricing models to cover the added costs.
After Caesars added a 25-cent charge per wager in Illinois, bet365 responded by providing a more favorable rate. While Caesars ($0.25), Fanatics ($0.25), FanDuel ($0.50), and DraftKings ($0.50) have a fee on each wager, bet365 limits their $0.25 cent fee to only bets that are fewer than $10.
The move to impose this rate is in response to Illinois revised tax policy, which requires sportsbooks to pay $0.25 per wager for the first 20 million bets annually and $0.50 per wager on any bets placed beyond that threshold.
bet365’s decision to apply its 25-cent fee only on wagers under $10 reflects a more measured approach to Illinois’ per-bet tax compared with some of its rivals. By limiting the surcharge to smaller stakes, the operator absorbs the tax burden on larger bets while still discouraging micro-wagering, which has become costly under the new rules.
The goal in implementing a more user-friendly rate is to try to secure more market share in Illinois and pull customers away from competing sportsbooks. DraftKings and FanDuel currently dominate this market and have per-bet fees that are double the cost, and apply to all bets. In comparison, bet365’s fee structure is designed to secure brand loyalty.
The per-bet tax affects Illinois bettors differently depending on their wagering style. Casual players, who often place numerous small wagers or parlays under $1, are the most exposed to new fees and minimums. For these users, even a small surcharge can quickly erode potential payouts and discourage play.
By contrast, higher-stakes bettors, who typically wager a lot more than $10 per slip, face zero direct costs under bet365’s model.
With this in mind, bet365 is also positioning itself to compete against Circa, which is a sportsbook that caters to high-stakes bettors, also available in Illinois. Circa didn’t impose a surcharge, but raised the minimum bet to $10. Since bet365 only puts in a fee on bets less than $10, it could be viewed as a direct response to compete against Circa in addition to more popular operators like DraftKings and FanDuel.
As expected, Illinois’ per-bet tax has raised concerns about whether higher fees and minimum wagers could unintentionally push players toward offshore sportsbooks. These unregulated operators, which do not face state taxes or licensing requirements, can offer wagers without added surcharges or betting limits.
For casual bettors who favor micro-wagering or low-stakes parlays, the increased cost of betting with licensed sportsbooks may create an incentive to seek out cheaper alternatives.
While offshore platforms can appear more affordable, they lack consumer protections, responsible gaming safeguards, and tax contributions that regulated operators provide. If a significant share of bettors move to unregulated sites, Illinois could lose both tax revenue and oversight, undermining the goals of the per-wager policy.
