Iowa Sports Betting: A Comprehensive Guide
Sports betting has found a welcoming home in the Hawkeye State. Since its legalization in 2019, Iowa has blossomed into a mature and competitive market, offering a wide array of options for both novice and experienced bettors. This guide will walk you through everything you need to know about sports betting in Iowa, from the legal landscape to the best sportsbooks and tips for responsible gaming.
Current Legal Status and History
Sports betting is legal and fully operational in Iowa, both online and at retail locations. The journey to legalization was a swift one. Following the Supreme Court's decision to overturn the Professional and Amateur Sports Protection Act (PASPA) in 2018, Iowa lawmakers acted quickly. In May 2019, Governor Kim Reynolds signed a bill into law that legalized sports wagering. The first bets were placed just a few months later, in August 2019.
Initially, the law included a provision that required bettors to complete their registration in person at a licensed casino. This requirement, however, expired on January 1, 2021. Since then, Iowans have been able to register, deposit, and place bets from anywhere within the state using their mobile devices or computers, leading to a significant surge in the state's sports betting revenue.
Available Sportsbooks and Their Features
Iowa boasts a competitive market with 14 online sportsbooks. Each of the state's 19 casinos is permitted to have up to three online "skins," creating a diverse landscape for bettors. Here are some of the top sportsbooks available in Iowa:
- FanDuel Sportsbook: A market leader known for its user-friendly interface, extensive betting options, and popular same-game parlay feature.
- DraftKings Sportsbook: Another giant in the industry, offering a robust platform with a vast array of betting markets, live betting options, and frequent promotions.
- BetMGM Sportsbook: Backed by the renowned MGM brand, BetMGM provides a sophisticated betting experience with a wide selection of sports, competitive odds, and a generous loyalty program.
- Caesars Sportsbook: Known for its strong brand recognition and aggressive marketing, Caesars offers a solid platform with a focus on traditional American sports and a rewarding loyalty program.
- Bet365 Sportsbook: A global powerhouse, Bet365 brings its extensive international sports coverage and innovative features to the Iowa market.
Other notable sportsbooks in Iowa include Bally Bet, Betfred, BetRivers, Circa Sports, ClutchBet, ESPN Bet, Fanatics, Hard Rock Bet, and Q Sportsbook.
Types of Bets Available
Iowa sportsbooks offer a wide variety of betting options to cater to all preferences. Here are some of the most common types of bets you'll find:
- Moneyline: A straightforward bet on which team will win the game.
- Point Spread: A bet on the margin of victory. The favorite must win by a certain number of points, while the underdog can win outright or lose by less than the spread.
- Totals (Over/Under): A bet on the total number of points scored in a game by both teams combined.
- Parlays: A single bet that combines multiple individual bets. All legs of the parlay must win for the bet to be successful, but the potential payout is much higher.
- Teasers: A type of parlay where you can adjust the point spread or total in your favor in exchange for a lower payout.
- Futures: A long-term bet on an event that will happen in the future, such as which team will win the Super Bowl.
- Prop Bets: Bets on specific events within a game that don't necessarily affect the final outcome, such as which player will score the first touchdown.
- Live Betting: Placing bets on a game while it is in progress, with odds that update in real-time.
Tax Implications for Winnings
As of January 1, 2026, all sports betting winnings in Iowa are considered earned income and are subject to both state and federal taxes. The state tax rate for sports betting revenue is 6.75%. It is important for bettors to keep accurate records of their winnings and losses for tax purposes. Sportsbooks are required to issue a Form W2-G to any bettor who wins $600 or more.
Mobile vs. Retail Betting Options
Iowa offers both mobile and retail betting options. While retail sportsbooks at the state's casinos provide a classic, immersive experience, the convenience of mobile betting has made it the preferred choice for the majority of Iowans. With online betting, you can place wagers from anywhere within the state, at any time, using your smartphone or computer. All of the major sportsbooks in Iowa have dedicated mobile apps for both iOS and Android devices.
Tips for Bettors in Iowa
- Shop for the best odds: With 14 different sportsbooks to choose from, it pays to compare the odds before placing your bets. Even small differences in the odds can add up over time.
- Take advantage of promotions: Sportsbooks are constantly offering promotions and bonuses to attract new customers and retain existing ones. Be sure to take advantage of these offers, but always read the terms and conditions carefully.
- Do your research: Don't just bet on your favorite team. Do your research and analyze the matchups before placing your wagers.
- Manage your bankroll: Set a budget for your sports betting activities and stick to it. Never bet more than you can afford to lose.
Responsible Gaming Resources
The Iowa Racing and Gaming Commission (IRGC) is committed to promoting responsible gaming. Their website provides a wealth of information and resources for those who may be struggling with a gambling problem. Additionally, all licensed sportsbooks in Iowa are required to offer responsible gaming tools, such as:
- Deposit limits: The ability to set limits on how much money you can deposit into your account.
- Wagering limits: The ability to set limits on how much money you can wager.
- Time limits: The ability to set limits on how much time you can spend on the sportsbook's app or website.
- Self-exclusion: The ability to voluntarily exclude yourself from all sports betting activities for a set period of time.
If you or someone you know has a gambling problem, you can call the National Problem Gambling Helpline at 1-800-522-4700 or visit the National Council on Problem Gambling's website at www.ncpgambling.org.