Electronic pull tabs have generated about $75.6 million in gross revenue since launching in the Hoosier State at the turn of the year, according to the Indiana Gaming Commission.
Charitable groups have long been able to raise money off paper pull tabs, raffles, bingo and other gambling activities. Last year, lawmakers added e-tabs to the list of options available to veterans’ and fraternal organizations.
Since the law took effect, 518 of 581 eligible entities have implemented e-tabs, installing approximately 2,797 devices throughout the state, commission spokeswoman Stephanie McFarland said.
Some of the revenue stays with the charitable groups running the devices.
American Legion Indiana Department Commander Ron Patterson is “not a gambler,” but is also “not against it.” He plays infrequently.
“When the e-pull-tabs people came around … they were saying two to five times increase in revenue,” he told the Capital Chronicle. “And I said, ‘That is a pretty big number to throw out.'”
He said earnings have multiplied in the three months since the Dec. 30 “go-live” date.
Several declining legion locations have “been saved from going under” by e-tab earnings, per Patterson.
Two posts within the 10th district were “struggling very significantly, financially,” he said. “Almost immediately, within 30 days of putting the new e-pull-tabs in, they were resurrected.”
Other locations are using the funds on critical repairs — courtesy of another 2025 law clarifying that charitable gambling operators can use net proceeds for “any lawful purpose,” including maintenance and fixes.
Post 391 in Fortville, where Patterson has been a member for more than 20 years, has experienced three water pipe leaks in three weeks.
“We’re gonna bite the bullet and just replace the whole main system,” he said.
The post also plans to put down new tile in the canteen area to better appeal to veterans and community members.
Charitable gambling operators keep a portion of revenue for operations, as regulated by state law, but distribute the rest of the proceeds to the community.
Patterson predicted e-tabs will allow the legion to expand giving in Indiana.
“Last year, we donated nearly $100,000 to veterans, the community, high school sporting, elementary sporting, fire department(s), shop with a cop (for needy children), and this year we foresee doing much more,” Patterson said.
Some of the e-tab revenue goes to the companies behind the devices.
Three licensees are actively supporting e-tab operations, according to McFarland: Arrow International, Grover Gaming, and J&J Gaming.
John Gallagher III, the CEO of Arrow International, said his company serves “most” of the organizations eligible for charitable gambling in the state.
The firm added more than 30 employees in Indiana over the last year, bringing its Hoosier total to “60 or 70” workers across all product lines.
Team members spent the holidays with e-tab hopefuls around the state, setting up the infrastructure needed to begin operations when the market opened.
Arrow handles the devices, content, installation, point of sale systems and more at no upfront cost to its contract partners, Gallagher said.
“We essentially are selling tickets, digital tickets,” he continued. “And on a per-ticket basis, we are generating revenue as the games are played. Essentially, the better the games perform, the better the charity fundraises, and the better our performance as well.”
How much the state will earn isn’t yet clear.
“Organizations are now beginning to submit their financial statements” for e-tab activity, McFarland said. They’re “required to submit financial reports detailing revenue, payouts, and expenses at the conclusion of their licensing periods.”
That means it may take a full year for the state to be able to “fully assess” e-tabs’ contributions to licensing fee revenue, she said. The state also collects excise tax on e-tabs.
Hoosiers can get confidential referrals for help with problem gambling by calling the Problem Gambling Hotline at 1-800-994-8448.
Indiana Capital Chronicle is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Indiana Capital Chronicle maintains editorial independence. Contact Editor Niki Kelly for questions: info@indianacapitalchronicle.com.
