Legal status, available platforms, and tax information for prediction market trading in Texas (TX).
Texas permits CFTC-regulated prediction markets. All major platforms are available and the state has no additional restrictions beyond federal regulation.
Prediction markets regulated by the CFTC (Commodity Futures Trading Commission) are generally permitted under federal law across all US states. However, individual states may impose additional restrictions that affect platform availability.
| Platform | Available | Notes |
|---|---|---|
| Kalshi | Available | |
| Polymarket | Available | |
| FanDuel Predicts | Available | |
| DraftKings Predictions | Available | |
| Robinhood Sports | Available | |
| PredictIt | Available | |
| Interactive Brokers ForecastTrader | Available | |
| CME Group Event Contracts | Available | |
| Manifold Markets | Play-money — no restrictions | |
| Metaculus | Play-money — no restrictions |
Availability may change. Last verified April 2026.
Texas has no state income tax. Prediction market profits are only subject to federal taxation, making it highly favorable for traders.
At the federal level, prediction market profits are generally reported as capital gains on IRS Form 8949 and Schedule D. The IRS treats prediction market contracts similarly to other financial derivatives. Consult a qualified tax professional for personalized advice.
