Illinois Senate passes gambling tax increase affecting DraftKings
The Illinois Senate passed a tax increase that would affect DraftKings, according to a report citing J.P. Morgan analyst Joseph Greff. The bill still required House approval and the governor’s signature; Greff estimated it could reduce gross profitability by $35m to $44m and after-tax profits by $101m to $134m next year.
The proposed tax change could affect DraftKings’ profitability and investors’ assessments of its Illinois exposure.