Flutter Entertainment PLC (LSE:FLTR) shareholders were dealt offsuits on Monday when the betting big cap’s shares were sent 5% lower in opening exchanges.
The Paddy Power and FanDuel owner, which is in the process of switching its primary listing stateside, is responding to a bill passed in the Illinois Senate to impose a 40% maximum tax on betting revenue.
Senators approved the progressive tax, which starts at 20% for adjusted gross revenues of up to $30 million and caps out at 40% for AGR above $200 million, as part of the state’s 2025 budget.
The tax will commence from 1 July, per the amendment.
Sports Betting Alliance's president Jeremy Kudon called the amendment “an extremely disappointing decision that will cause real harm”.