Online Gambling in Tennessee

Is Online Gambling Legal in Tennessee?

The state of Tennessee has legalized online sports betting and paid DFS contests. It has not authorized online casino gaming and online poker rooms. Tennessee has no casinos, no retail sportsbooks, and no tribal casinos.

By Betting VerdictVerified How we rate
On this page

Is gambling legal in Tennessee? We can only say partly. Online sports betting and paid fantasy contests are licensed, and both answer to one regulator. Yet, online casino and online poker are not legal, and neither has ever been authorized. Here's the part that surprises people. Tennessee has no casinos, no tribal gaming, and no retail sportsbooks, so everything legal here happens on a phone.

Who Regulates Gambling in Tennessee

The Sports Wagering Council

One agency here handles both legal online products. The Tennessee Sports Wagering Council licenses sportsbooks and, since July 2023, fantasy operators. It took over from the Tennessee Education Lottery, and it publishes a licensee list so you can check any site yourself.

Also, two other bodies matter here. The Tennessee Education Lottery Corporation runs the lottery. The Attorney General enforces the sweepstakes ban under the Consumer Protection Act. It's a small setup, but it explains a lot about Tennessee gambling laws.

The Council's Enforcement Record

This regulator doesn't sit still. On January 9, 2026, it sent cease-and-desist letters to Kalshi, Polymarket, and Crypto.com. Overall, the letters say sports event contracts need a Tennessee license. 

The Council was still at it in August 2026, when it sent cease-and-desist letters to 3 more offshore sportsbooks. It also warns that betting with an unlicensed offshore site is a crime, and that no regulator can help you recover your money.

Kalshi

So, is Kalshi legal in Tennessee? It looks like the state isn't on board with sports contracts right now. However, in February, a federal judge sided with Kalshi.

Then the Sixth Circuit vacated that order on September 25, 2026. It said Tennessee can enforce its law and sent the case back to the lower court. Yet, Kalshi disagrees, and the split between appeals courts makes Supreme Court review more likely.

Where to Get Help in Tennessee

Call or text the Tennessee REDLINE at 1-800-889-9789. It's free, confidential, and open around the clock. The national responsible gambling helpline, 1-800-MY-RESET, works too.

Where You Can Bet in Tennessee

Sportsbooks in Tennessee

4 apps went live on launch day: DraftKings, FanDuel, BetMGM, and Action 24/7. Action 24/7, the only locally owned book, shut down in January 2026. So, that leaves ten licensed online sportsbooks. The number can shift, so always check the Council's own licensee list.

Because Tennessee has no casinos, sportsbooks don't need a land-based partner to get licensed. That's a big reason the market looks different from its neighbors.

Is FanDuel legal in Tennessee? Yes. And DraftKings? Also yes, for both sports betting and fantasy contests. Both hold Council licenses, like every legal operator here.

Fantasy Contests in Tennessee

Keep in mind that any operator with paid fantasy contests needs a Council license first. Is PrizePicks legal in Tennessee? Yes. 

What about Underdog? Yes, too, because both hold licenses. Each has to run peer-to-peer pick'em contests, so you'll see pool-style formats instead of playing against the house.

What Is Not Available Here

Tennessee has no casinos, tribal gaming, or retail sportsbooks. There are no racetracks, off-track betting sites, or simulcast wagering either.

No licensed online casino or online poker exists. If you ever want a break from betting, the Council runs a self-exclusion program that covers every licensed sportsbook.

Tax on Gambling Winnings in Tennessee

No State Tax on Winnings

Tennessee levies no state personal income tax. That means gambling and fantasy winnings aren't subject to state tax. 

The old Hall tax on interest and dividends was fully repealed for tax years starting in 2021, so nothing remains.

What Still Applies Federally

Federal tax still applies, and operators issue a W-2G once winnings pass the federal reporting thresholds. There's a new twist for 2026, too. If you itemize, you can deduct only 90% of your gambling losses, and never more than your winnings.

Don't confuse any of this with the 1.85% tax Tennessee charges. That hits sportsbooks on the handle, not you. It replaced a 20% revenue tax in July 2023, and Tennessee was the first state to tax handle instead of revenue. This is general information, not tax advice.

Pending Tennessee Gambling Legislation

What Passed in 2026

Tennessee online gambling law moved more this year than in most states. SB 2136 bans dual-currency sweepstakes games. Both chambers passed it in April, and Lee signed it on May 22.

Running or promoting one is now an unfair or deceptive trade practice under the Consumer Protection Act. That gives the Attorney General civil enforcement powers. Licensed sports betting, fantasy contests, the lottery, and nonprofit gaming are carved out.

SB 1992 went a different direction. It makes intentionally influencing an event's outcome while holding a prediction market contract on it a Class E felony. That carries one to six years in prison.

No iGaming Bill

Nobody is pushing for online casinos here. The legislature spent 2026 banning sweepstakes casinos instead. 

Tennessee has no commercial casino industry to lobby for one, and back in 2019 Lee warned he'd veto broader gambling expansion.

What Would Have to Change

Tennessee lawmakers would have to write an online casino law from scratch, because the 2019 act covers mobile sports betting only. 

Still, nothing suggests that will happen soon.

Where to Bet in Tennessee

Tennessee Online Casinos

Illegal · 21+

Guide coming soon

Tennessee Sportsbooks

Legal And Live · 21+

Guide coming soon

Tennessee Daily Fantasy Sports

Legal And Live · 18+

Guide coming soon

Tennessee Prediction Markets

Federally Regulated · 18+

Guide coming soon

No State Tax on Winnings

Tennessee levies no state personal income tax. That means gambling and fantasy winnings aren't subject to state tax.  The old Hall tax on interest and dividends was fully repealed for tax years starting in 2021, so nothing remains.

General information only; not tax advice.

Frequently asked questions

Is online gambling legal in Tennessee?

Partly. Online sports betting and paid fantasy contests are legal, and the Tennessee Sports Wagering Council licenses both. Real-money online casino games and online poker are not legal and have never been authorized. Tennessee has no casinos, so everything legal happens online.

Is gambling legal in Tennessee?

Yes, in a limited way, and only online. Sports betting launched on November 1, 2020, as the first market in the country with no retail sportsbooks. You must be 21 and inside Tennessee to bet. College betting is allowed, including in-state schools, but prop bets on individual college athletes are not.

Are online casinos legal in Tennessee?

No. The 2019 law authorized mobile sports betting and nothing else, so slots and table games have no statutory basis in Tennessee. The Sports Wagering Council doesn't license online casinos, and any site advertising an online casino to Tennessee players is offshore. Sweepstakes casinos are banned too, under SB 2136, signed May 22, 2026.

Is PrizePicks legal in Tennessee?

Yes. Fantasy operators need a license from the Tennessee Sports Wagering Council before offering paid contests, and PrizePicks and Underdog both hold one. Tennessee requires pick'em contests to be peer-to-peer rather than played against the house. The minimum age for fantasy contests is 18.

How old do you have to be to gamble in Tennessee?

It depends on the product. You must be 21 to bet on sports. Also, you must be 18 for licensed fantasy contests and for the Tennessee Education Lottery. Tennessee has no minimum casino age because it has no casinos. Operators verify your age and identity when you sign up.