Caesars Sportsbook will soon be adding an extra charge for Illinois bettors. Beginning September 1, the operator will implement a 25-cent fee on every online wager placed in the state, a direct response to Illinois’ recently enacted per-bet tax.

The move aligns Caesars with Fanatics Sportsbook, which is also applying a 25-cent charge, while competitors such as DraftKings and FanDuel are opting for a higher 50-cent surcharge. Other operators have instead chosen to adjust their minimum betting requirements.

New Fee to Offset Illinois’ Per-Wager Tax

The change was formally announced in a letter that Caesars sent to its Illinois customers on August 25. The company explained that the new fee will be visible during bet placement, displayed in the bet slip, and available in a user’s transaction history.

“This will be shown during bet placement and indicated in the bet slip, and can also be found in your bet and transaction history,” Caesars explained, according to InGame.

According to Caesars, the surcharge applies to all digital “cash bet types and include profit boost wagers.” However, the company clarified that bets made with bonus credits or reward points will not incur the extra charge. In-person wagers at Caesars’ three retail sportsbook locations—Grand Victoria Casino Elgin, Harrah’s Joliet, and Harrah’s Metropolis—will also remain unaffected. If a wager is canceled or voided, Caesars noted the surcharge will be refunded.

The timing coincides with the state’s legislative changes. “Following the decision made by the Illinois General Assembly on May 31, 2025, a $0.25 wager tax has been applied to each online sports wager placed in the state of Illinois. Effective Sept. 1, 2025, this $0.25 wager tax will be applied to each online wager placed on Caesars Sportsbook,” the operator informed customers in its notice.

How Illinois’ Law Impacts Operators

Illinois’ per-wager tax took effect on July 1 and charges sportsbooks 25 cents per online bet for the first 20 million wagers annually, then 50 cents for every bet thereafter. Legislators expect the measure to generate about $36 million in revenue for the state each year.

For most operators, including Caesars, the 20-million threshold is unlikely to be reached. Analysts predict only DraftKings and FanDuel—by far the largest platforms in the state—will cross that level in 2025.

This new system is layered on top of last year’s revenue-based tax hike, which replaced Illinois’ flat 15% levy with a sliding scale ranging from 20% to 40% depending on operator revenue. Caesars, for instance, paid a 25% tax on adjusted gross revenue in fiscal year 2025.

Industry experts have warned, the fee structure could amount to “double taxation.” In a July communication, the Illinois Gaming Board (IGB) stated that surcharges would be considered part of taxable handle. As Adam Hoffer of the Tax Foundation noted, this effectively means operators are being taxed on the state-imposed fee itself.

Operators Take Different Routes to Compliance

Caesars’ approach mirrors Fanatics’ 25-cent surcharge, but several rivals are opting for alternative strategies. DraftKings and FanDuel will both charge users 50 cents per wager starting next month. Meanwhile, ESPN Bet and BetRivers have raised their minimum online bet requirement to $1, Hard Rock Bet has instituted a $2 minimum, and BetMGM set its floor at $2.50. Circa Sports has taken the most aggressive stance, requiring a $10 minimum bet due to what it describes as its “low-hold, high-volume” model.

At this point, bet365 remains the only licensed sportsbook in Illinois that has yet to publicly announce any changes in response to the new tax.

Sportsbook Customer Impact Details
Caesars Sportsbook 25¢ surcharge per online wager Applies to all digital cash bets and profit boost wagers; excludes bonus/reward bets and in-person wagers; refunds surcharge on voided bets.
Fanatics Sportsbook 25¢ surcharge per online wager Matching Caesars’ approach with a per-bet fee starting this fall.
DraftKings 50¢ surcharge per online wager Begins Sept. 1, applies to all online bets.
FanDuel 50¢ surcharge per online wager First to announce the surcharge; goes into effect Sept. 1.
BetMGM $2.50 minimum bet Customers must wager at least $2.50 per online bet.
BetRivers $1 minimum bet Increased from 10¢ minimum to $1.
ESPN Bet $1 minimum bet Raised from 10¢ minimum to $1.
Hard Rock Bet $2 minimum bet Users must place wagers of at least $2.
Circa Sports $10 minimum bet Adopted due to its “low-hold, high-volume” business model.
bet365 No changes announced yet Only Illinois operator yet to address the per-wager tax.

What Bettors Should Expect

For Illinois sports bettors, the impact depends on where they place their wagers. While the added 25-cent fee at Caesars is relatively modest compared to competitors’ 50-cent surcharges, frequent players will likely notice the cumulative cost. Multi-leg bets such as parlays, same-game parlays, and round robins will count as a single wager under Caesars’ policy.

Illinois has quickly become one of the most expensive states in the nation for sportsbook operators, with both revenue-based and per-wager taxes stacking costs on top of each other. As more operators finalize their approaches, customers will continue to feel the ripple effects through higher fees or stricter minimums.