NC Governor Signs Budget Adding Tax on Prediction Markets

North Carolina Governor Josh Stein has signed a $34 billion state budget into law. The legislation introduces a new tax levy on prediction market operators.

Legislative Changes

The new law targets platforms operating within the state, including companies like Kalshi. North Carolina now stands as one of the first jurisdictions to impose taxation on prediction markets. The budget also includes an increase in the tax rate for sports betting activities.

This adjustment accompanies the new prediction market provisions within the broader financial package.

This financial measure was implemented without the establishment of a dedicated regulatory framework for the sector. The absence of specific oversight rules may lead to future legal discussions regarding the division of power between federal and state authorities.

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