This week, the Indiana Gaming Commission published the details of the 2022 fiscal year annual report. The findings showed that the gambling industry has been able to reach new heights, rebounding from the COVID-19 pandemic and meeting the $1 billion tax revenue mark for the first time since 2012.
Details of the Fiscal Year Report
The 12-month fiscal year ended on June 30, 2022 and showed state-wide casino earnings of $2.5 billion. This was a 19% increase from the previous fiscal year. Growth was pushed by land-based casino gaming, particularly via the Hard Rock Northern Indiana venue located in Gary.
This casino helped the market reach $1.1 billion in earnings, much higher than the $900 million earned in the 2021 fiscal year. Racinos and other casinos of the state also saw an increase in totals. Caesars Entertainment invested in the property, which has paid off, since the state’s gaming industry is now stronger than ever.
Caesars invested $33.7 million to expand the Horseshoe Indiana located in Shelbyville, offering more gaming positions and floor space. Another $40 million is being added by the company to Harrah’s Hoosier Park with more space and gaming positions going there as well. The changes will not be completed until 2023. Both venues give Indiana more options for players to enjoy casino gambling and other amenities. Both are expected to big revenue drivers within the casino market space.
The last time Indiana reached $1 billion in revenues related to gambling it was during the 2012 budget year. The continued growth of the gambling market will hopefully help the state reach the $1 billion mark in the next fiscal year.
Tax Earnings for the State
Operators with licensing to offer gambling in Indiana must pay taxes of course, and the state was able to collect $1.04 billion from earnings. This was an increase of over 8% compared to 2021’s $958.3 million. Casinos brought in over $660 million in taxes, an increase of 17.9%.
The amount for casinos was much higher than last fiscal year due to the impact of COVID. Casinos were under restrictions in 2021 which led to fewer visitors than in 2022. Players are getting out now more than ever to enjoy entertainment provided by Indiana operators.
An additional $31.2 million was provided in taxes to the state from sports betting, with the lottery offering even more at $344.4 million. Sports betting is quite popular among residents and visitors to the state with options for wagering on professional and college sports. As football is now live, we expect the sports betting totals to continue to grow in the state.
These totals added to the casino earnings were enough to push the state over the one-billion-dollar mark. The lottery did so well that its supplier, IGT, was able to receive a bonus of over $18 million.