Online betting in Texas

What Gambling Is Legal in Texas

So, is online gambling legal in Texas? No. Search online gambling Texas, and you'll see plenty of ads, but none come from a licensed operator. 

Texas online gambling has one real gray area, and that's fantasy contests.

Sports Betting in Texas

Sports betting is not legal, whether online or in person. No licensed sportsbook operates anywhere in the state. All in all, Texas gambling laws start with one rule. Chapter 47 of the Penal Code bans betting unless an exception applies. Legalizing sports betting takes a constitutional amendment, which needs two-thirds of both chambers plus a statewide vote.

The House has tried. A 2023 sports betting proposal passed the House with 101 votes, then never got a Senate hearing. Several sports betting and casino bills died again when the regular session ended on June 2, 2025. 

Fantasy Contests in Texas

Fantasy contests are where Texas gets murky. No Texas statute allows paid daily fantasy, and none bans it. Lawmakers have filed fantasy bills before, but none has become law.

The state's only formal position is Attorney General Opinion KP-0057, from January 19, 2016. It said paid daily fantasy contests are likely illegal gambling. It reasoned that chance plays a part in who wins. That opinion is advisory, though. It isn't a binding law.

No Texas court has ruled on it, and no prosecutions of players have been reported.

DraftKings, FanDuel, PrizePicks and Underdog in Texas

Is DraftKings legal in Texas? Its sportsbook isn't, but its fantasy contests accept Texas players. Is FanDuel legal in Texas? Same split, with a little history. FanDuel stopped paid contests in Texas in 2016, after the attorney general's opinion. It came back around 2018 and has stayed available since.

What about PrizePicks? It operates here and accepts Texas players 18 and up. And Underdog? Same answer, under the same gray-area rules. Both are fantasy products, not sportsbooks.

Texas Online Casinos

Online casino is a flat no. Texas has never authorized real-money online casino games. If you search online casino Texas, what do you find? You'll land on offshore or sweepstakes sites, none of them licensed here. 

Keep in mind that casino gaming needs a constitutional amendment here, not an ordinary bill. No Texas law addresses the dual-currency sweepstakes model. SB 517 would have widened the definitions of gambling devices and things of value. It mainly targeted eight-liner machines. Notably, it didn't become law before the session ended June 2, 2025.

Online Poker in Texas

Is online poker legal in Texas? The answer is no. 

Online poker falls under the same Chapter 47 ban as online casino games. Sites that accept Texas players hold no Texas license, so always use caution.

Gambling Age in Texas

Speaking of gambling age in Texas, it doesn't come down to one number. Still, you need to be 18 to buy Texas Lottery tickets. Tribal venues mostly set 21, but each property makes its own call, so always check first. 

The state has no casino or sportsbook age, since neither is legal here. That's why the Texas gambling age question gets so many different answers. Fantasy operators set their own minimums, generally 18.

Who Regulates Gambling in Texas

Who Runs the Lottery Now

The Texas Lottery Commission is gone. Lawmakers abolished it in 2025 under SB 3070. That followed a $95 million jackpot controversy and a fight over courier apps. Since September 1, 2025, the Texas Department of Licensing and Regulation has run the lottery. 

Charitable bingo moved there too. The law also banned lottery couriers, and the lottery faces another Sunset decision in 2029.

Who Covers Everything Else

The Texas Racing Commission enforces the Texas Racing Act, which covers pari-mutuel wagering. The three tribal venues run under federal law. 

The National Indian Gaming Commission oversees them, not Texas. Texas licenses no online sportsbook, casino, or poker site. So, there's no state office to call about an online account.

Where to Get Help in Texas

The National Problem Gambling Helpline is 1-800-522-4700, and you can call, text, or chat at any hour. It's free and confidential. 

Reaching out early beats waiting for a bad stretch. Another national option is 1-800-MY-RESET.

Where to Bet in Texas

Fantasy Contests

Most fantasy contests in Texas run on national apps. Still, the 2016 opinion hasn't slowed any of them down. Each operator sets its own rules and minimum age. 

You'll find the biggest names on our Texas fantasy contests page.

Prediction Markets: Federal, Not State

Prediction markets operate in Texas under federal CFTC oversight, not state law. That's how they operate in a state with no legal sports betting. As you may know, they now have lawmakers' attention. On September 15, 2026, Texas Senate and House committees held hearings on the topic.

At the hearing, a Kalshi agent told senators the company runs an exchange, not a gambling site. Senators were skeptical and pressed him on how that differs from a sportsbook. So far, though, Texas hasn't taken any enforcement action. Attorney General Ken Paxton didn't even sign a July letter in which 44 states said they have the authority to regulate these markets.

What Is Not Available Here

No sportsbook, online casino, or online poker site is licensed in Texas. Casino gaming here is tribal and in person, at three venues. Kickapoo Lucky Eagle sits near Eagle Pass. Naskila Gaming is near Livingston, and Speaking Rock is in El Paso.

Tax on Gambling Winnings in Texas

No State Tax on Winnings

Texas has no state income tax, so you don't owe anything to Austin. 

That goes for gambling and fantasy winnings alike.

What Still Applies Federally

The IRS still wants its share, including on fantasy winnings from a product no Texas agency licenses. No license doesn't mean no tax bill. 

Gambling payouts above the federal reporting thresholds come with a W-2G. And 2026 brings a change for itemizers. You can now deduct only 90% of your gambling losses, and never more than you won. Always consult a professional for tax-related advice. 

General information only; not tax advice.

Pending Texas Gambling Legislation

Nothing Is Pending Right Now

No gambling bill is pending, because lawmakers aren't in session. The regular session ended June 2, 2025, with no sports betting, casino, or fantasy bill passed, and the next one opens in January 2027. A governor can call a special session. 

Supporters would need him to add gambling to the agenda. Meanwhile, Interim committees are studying prediction markets.

Why It Takes a Constitutional Amendment

Legalizing sports betting or casinos takes a constitutional amendment. That means two-thirds of both chambers, then a vote of the people. 

It's a much higher bar than an ordinary bill. That's why so many attempts have stalled.

The 2027 Session

Lieutenant Governor Dan Patrick controls the Senate calendar, and he has blocked gambling bills before. Governor Greg Abbott isn't pushing for change either. In December 2025, Abbott said he was "simply not there yet" on casinos and sports betting. 

Since March, his interim charges have targeted prediction markets. In May, he said he wants to close those loopholes. Nothing is guaranteed in either direction. Follow the latest news for updates.

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