Online sports betting legalization could yield as much as $900m in annual revenue and $108m in tax revenue for the state of New York according to projections made by sports news betting portal NY Sports Day.

It predicts that New York stands to become one of the largest US markets for legal online sports betting, pending the passage of NY State Senate Bill 17D which would authorize each of the state’s seven retail casinos to operate a mobile sportsbook.

NY Sports Day’s forecast comes ahead of an upcoming special session about the New York state budget which will feature discussions about a proposed revenue enhancement bill. There are hopes that online sports betting could make it onto that bill.

As things currently stand, Senate Bill 17D proposes a 12% state tax on mobile sports betting revenue, as well as a one-time $12m licensing fee paid by each operator which could earn as much as $900m in annual revenue. The 12% tax on that revenue would yield $108m in taxes for the state which would also take in $84m in licensing fees.

“New York has a chance to become the biggest mobile sports betting hub in the US,” said Geoff Fisk, analyst for NY Sports Day. “New Jersey holds that position right now, and some of that comes from New York bettors traveling to New Jersey to place a legal wager.

“If New York legalizes online sports betting, the revenue that’s going to New Jersey stays in New York. Considering tourism and state population, New York could host the most lucrative mobile sports betting industry in the country.”

Those numbers could grow further, said the news portal, should more skins be made available, turning New York sports betting into a billion dollar industry. If state laws allowed for two skins per operator, the expanded market could result in $1.3bn in annual revenue for the state’s online sports betting industry. The state would bring in $156m in tax revenue yearly, and a total of $168m in licensing fees from 14 skins.

“All seven New York casinos have sportsbook partnerships in place, so those seven brands are locked in if online sports betting gets the green light,” Fisk said. “DraftKings and FanDuel already have a place in the New York market. Expanding to two or more skins per operator, however, could include brands like Barstool and PointsBet. The sports betting market would thrive with 14 or more brands in competition.”