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Chicago Confirms City-Level Sports Betting Tax as 2026 Budget Takes Effect

December 28, 2025|byAustin Reynolds

Chicago’s 2026 city budget is now set to move forward with a new municipal tax on sports betting, adding another layer of cost for operators already facing one of the heaviest gambling tax environments in the United States. The $16.6 billion spending plan introduces a 10.25% tax on sportsbook revenue generated within city limits, with the measure scheduled to take effect on January 1, 2026.

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Chicago sports betting shown during a Bears game as the city moves ahead with a new municipal betting tax
Chicago Confirms City-Level Sports Betting Tax as 2026 Budget Takes Effect

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