The Legal Landscape of Sports Betting in South Dakota
South Dakota operates under a relatively restrictive legal framework for sports betting. Voters approved a constitutional amendment in November 2020, which authorized the state legislature to legalize sports wagering exclusively within the city limits of Deadwood. The law officially took effect in September 2021, making South Dakota a state with legal but retail-only sports betting. This means that all bets must be placed in person at a licensed casino in Deadwood.
As of early 2026, there is a significant legislative push to expand sports betting to include mobile and online wagering. A resolution has advanced through the state Senate to place the issue on the November 2026 ballot, which would allow voters to decide on statewide mobile sports betting. If passed, this would represent a major expansion of the current market, allowing bettors to place wagers from anywhere in the state.
Available Sportsbooks in South Dakota
Because sports betting is confined to Deadwood, the available sportsbooks are all retail locations within the city's casinos. Several casinos have partnered with well-known national brands to offer sports betting services.
- BetMGM at Tin Lizzie Gaming Resort & Cadillac Jack's Gaming Resort: A leading name in the industry, BetMGM offers a comprehensive sportsbook experience at two prominent Deadwood locations. They provide a wide range of betting markets and a user-friendly interface at their physical sportsbooks.
- Dale's Sportsbook at Deadwood Mountain Grand: This is a locally branded sportsbook offering a comfortable environment for watching games and placing bets.
- The BetLodge Sportsbook at The Lodge at Deadwood: Another local option, the BetLodge provides a high-quality retail sportsbook experience.
- Gold Dust Casino Sportsbook: The Gold Dust Casino also features its own branded sportsbook.
These sportsbooks offer betting on all major professional and collegiate sports, subject to South Dakota Gaming Commission regulations.
Types of Bets Available
Bettors in Deadwood can expect to find all the standard types of wagers available at the retail sportsbooks:
- Moneyline: A straightforward bet on which team will win the game.
- Point Spread: A bet on the margin of victory. The favorite must win by a certain number of points, while the underdog can win outright or lose by less than the spread.
- Totals (Over/Under): A bet on the total combined score of both teams in a game.
- Parlays: A combination of multiple bets into a single wager. All individual bets (legs) must win for the parlay to pay out, but the potential winnings are much higher.
- Teasers: A type of parlay where the bettor can adjust the point spread or total in their favor in exchange for a lower payout.
- Futures: A long-term bet on an event that will happen in the future, such as which team will win the Super Bowl.
- Prop Bets: Bets on specific events or statistics within a game that may not be related to the final outcome (e.g., which player will score the first touchdown).
Tax Implications for Winnings
Gambling winnings in South Dakota are subject to both federal and state income tax. The federal government requires casinos to report winnings over a certain threshold (typically $600 or more if the winnings are 300 times the wager amount) to the IRS. A federal tax of 24% is often withheld from large winnings. South Dakota does not have a state income tax, so winnings are not taxed at the state level. However, it is crucial for bettors to keep accurate records of their wins and losses for tax reporting purposes.
Mobile vs. Retail Betting Options
Currently, South Dakota is a retail-only betting state. All wagers must be placed in person at a licensed sportsbook in Deadwood. There are no legal mobile or online sports betting options available within the state. This means bettors must travel to Deadwood to participate in legal sports wagering. The upcoming 2026 ballot initiative could change this, potentially legalizing mobile betting and allowing residents to bet from their phones anywhere within state lines.
For now, residents outside of the Deadwood area who wish to bet online must travel to a neighboring state where mobile betting is legal, such as Wyoming or Iowa.
Tips for Bettors in South Dakota
- Plan Your Trip to Deadwood: Since all betting is retail, you'll need to visit Deadwood. Make the most of your trip by exploring the historic city and its many casinos.
- Shop for the Best Lines: Different sportsbooks may offer slightly different odds (lines) for the same game. If you are in Deadwood, it can be worth checking the lines at a few different casinos to find the most favorable odds for your bet.
- Understand the Rules: Familiarize yourself with the specific house rules of the sportsbook where you are placing your bets.
- Bet with Your Head, Not Your Heart: Avoid betting on your favorite teams unless you have a sound analytical reason to do so. Emotional betting is a common pitfall.
- Manage Your Bankroll: Only bet what you can afford to lose. Set a budget for your betting activities and stick to it.
Responsible Gaming Resources
South Dakota provides resources for individuals who may be struggling with problem gambling. It is essential to gamble responsibly and know when to seek help.
- South Dakota Council on Problem Gambling: Offers a helpline and resources for treatment and support. Their website is a primary source of information for responsible gaming in the state.
- National Council on Problem Gambling: A national resource that provides a 24-hour confidential helpline (1-800-522-4700) and information on finding local help.
All licensed gaming facilities in Deadwood are required to provide information on responsible gaming and offer self-exclusion programs.