TLDR
- A new study estimates legal online sports betting in Nebraska could bring in nearly $87 million in tax revenue over five years
- About 70% of that revenue, roughly $61 million, would be directed toward property tax credits for residents
- Tax Relief Nebraska is collecting signatures to put the issue on the 2026 ballot, with the effort moving faster than expected
- Supporters argue the state is losing revenue as residents already bet in neighboring states or through unregulated platforms
- Opponents warn that expanded access could increase gambling participation and create social risks that are harder to quantify
A new study says Nebraska could collect close to $87 million in tax revenue over five years if it legalizes online sports betting. The research was commissioned by Tax Relief Nebraska and carried out by Eilers & Krejcik Gaming.
The projections come as supporters push to place the question on the 2026 ballot. A signature campaign is already underway and reportedly gaining early traction.
Under the proposed plan, Nebraska would tax online sports betting in a similar way to its existing casino taxes. About 70 percent of the revenue would go toward property tax credits for residents.
That would amount to roughly $61 million over five years directed back to taxpayers. Property taxes have been a long-running concern in Nebraska, making this a central part of the campaign’s pitch to voters.
Broken down annually, the projected property tax relief comes to just over $12 million per year. In the context of the full state budget, that amount is helpful but limited.
It is unlikely to reshape Nebraska’s overall tax picture on its own. Still, supporters believe even modest relief on property taxes will resonate with voters.
The Push to Reach the Ballot
Tax Relief Nebraska has already started gathering signatures to qualify for the 2026 ballot. Jordan McGrain, one of the campaign’s backers, said the effort is moving ahead faster than expected.
Early momentum in a signature drive does not guarantee a spot on the ballot. But it does suggest there is enough public interest to keep the campaign on track.
Nebraska has taken a slow approach to gambling expansion. Voters only approved casino gaming a few years ago, and online sports betting would be the next step.
Whether voters are ready for that step is still unclear. The state has historically been cautious when it comes to expanding gambling access.
Revenue Leaving Nebraska’s Borders
One of the main arguments from supporters is that Nebraska residents are already betting. Some travel to neighboring states where online wagering is legal, and others use platforms operating outside Nebraska’s regulatory reach.
This means betting activity is happening, but the state collects nothing from it. Supporters call this a missed opportunity that legalization could fix.
Opponents see it differently. They argue that making online betting easier to access could increase the number of people who gamble and bring social costs that are difficult to measure.
Even if voters approve the measure, the state would still need to build a full regulatory framework. That includes licensing, compliance rules, and consumer protections.
Setting up that system takes time and money, which could affect how much of the projected revenue actually reaches the state’s coffers.
The $87 million figure is being treated as a reference point, not a guarantee. It gives voters a rough idea of what legalization might deliver, but real-world results could vary.
For now, the signature campaign continues. Nebraska appears on track to let voters decide the question in 2026, with property tax relief at the center of the debate.
