Common Questions
Everything new bettors ask before placing their first wager.
Is it legal to bet on horses online in the US?
Yes, in most states. The Interstate Horseracing Act of 1978 permits advance-deposit wagering (ADW) across state lines where state law allows. That covers the majority of US states, including California, New York, New Jersey, Pennsylvania, Kentucky, Florida, Maryland, and others. Utah and Hawaii are the clearest exceptions — both have broad gambling prohibitions that block ADW.
For a full breakdown by state, see the ADW state-by-state legal guide.
How old do you have to be to bet on horses online?
18 in most states, including Kentucky, Florida, Maryland, and Oregon. Some jurisdictions require 21. Always confirm with your state's racing commission before signing up. No licensed ADW platform will let you skip that verification step anyway — they all require it.
What is an ADW account?
ADW stands for Advance Deposit Wagering. You fund the account first, then bet. It's the licensed online equivalent of walking up to a teller window at the track. Platforms like TwinSpires, TVG, NYRA Bets, Xpressbet, and AmWager all operate on this model. For step-by-step signup help, visit the guide to opening an online horse betting account.
How do I deposit money?
Most ADWs accept ACH/eCheck, debit card (Visa/Mastercard), and PayPal. ACH deposits typically clear in 1–3 business days. Minimum deposits are commonly in the $10–$25 range, though exact amounts vary by platform.
Full details are in the horse betting deposit methods guide.
How long do withdrawals take?
ACH withdrawals generally take 3–5 business days. Checks by mail run 7–14 business days. All licensed ADWs require identity verification (government ID, SSN) before they'll process a withdrawal — get KYC done early so it doesn't slow you down.
How does pari-mutuel betting work?
Your bet goes into a shared pool with everyone else's money on the same wager type. The track removes its cut (the takeout), and whatever's left is split among winning tickets. You're betting against other bettors, not a fixed set of odds. Typical takeout ranges: 14–18% on win/place/show pools, up to 25%+ on exotic pools like trifectas. Learn more at the pari-mutuel betting explainer.
What bet types can I make online?
The basics are win, place, and show. Exotic wagers — exacta, trifecta, superfecta — require picking multiple finishers in the correct order and pay out bigger when you hit. A full rundown of every bet type lives at the horse racing bet types guide.
How are horse racing winnings taxed?
Winnings are ordinary income under federal law. A W-2G is issued when winnings are $600 or more AND at least 300× the amount wagered. Automatic 24% federal withholding kicks in when winnings exceed $5,000 and are more than 300× the wager. Gambling losses can offset winnings, but only up to the amount won and only if you itemize deductions (Schedule A). Per IRS Topic No. 419, state tax treatment varies — California, for example, does not allow a state deduction for gambling losses. Consult a tax professional for your specific situation.
Are ADW bonuses worth chasing?
Horse racing ADW promotions usually come as rebate programs — a percentage of your total handle returned — rather than traditional match bonuses. Some require a minimum monthly handle to qualify for the stated rebate rate. Read the full terms before choosing a platform based on its rebate offer. More context in the horse betting rebates and bonus offers guide.
How do I know if a platform is actually licensed?
Check your state racing commission's website for its approved ADW list. Don't rely on the operator's own claims. The licensed ADW platforms comparison covers the major operators, but commission sites are the authoritative source.
Must be 18+ (21+ in some states). Gambling problem? Call or text 1-800-522-4700, or visit ncpgambling.org for a state-by-state resource finder.