Arizona will open a two-week application period on August 13 for up to 10 retail sports betting licenses tied to racetracks and off-track betting facilities.
Good to Know
The limited event wagering licenses offer a narrower route into Arizona sports betting than a full mobile operator license. Approved companies can run retail sportsbooks through a racetrack or associated off-track location, but cannot use the permit as a standalone online betting license. Arizona law reserves 10 licenses for such facilities.
Retail operators will also pay a lower tax than mobile sportsbooks. Arizona taxes retail revenue at 8%, while online sports betting revenue carries a 10% rate.
“Applicants for limited event wagering operator licenses will undergo a thorough licensing evaluation process structured to ensure consumer protection,” ADG Assistant Director of Certification and Licensing Cliff Holden said. “We look forward to receiving new applications for limited event wagering within the state of Arizona.”
The Arizona Department of Gaming will keep the window open for two weeks. Successful applicants must pass licensing checks before accepting wagers, meaning approval does not provide an immediate launch date.
The process follows a February proposal from Governor Katie Hobbs to raise the online sportsbook tax as high as 45% for operators with at least $75 million in monthly gross event wagering receipts. Lawmakers left that plan out of the final fiscal year 2027 budget.
Arizona is opening a legal retail route while targeting platforms that operate without state approval.
The ADG recently sent cease-and-desist orders to BetOpenly, Bookmaker, ClubWPT Online Poker, Kutt Inc. and Raffle Creator. The regulator cited alleged violations that included illicit gambling promotion, illegal control of an enterprise and money laundering.
More than 15 operators have received similar orders since 2025, including unlicensed betting sites and sweepstakes casino platforms. Companies that ignore an order may face civil or criminal action.