We continuously test every sweepstakes casino accepting Alabama players, and update our shortlist as sites change. Only a handful currently make the cut: real cashouts, a legitimate free entry, and no deposit pressure. Below are our June 2026 picks, plus where Alabama law stands, who’s eligible, and how winnings are taxed.
Sweepcasinos Choice
1.3M CC + Free 65 SC – 170% More on First Purchase
Welcome bonus
200,000 GC + 20 Spins
Welcome bonus
25,000 GC + 2.5 SC
Welcome bonus
10,000 GC + 1 SC
Welcome bonus
200% + $20 First Purchase Bonus
Welcome bonus
100,000 GC + 2.5 SC
Welcome bonus
20,000 GC + 2 Diamonds + 2 RUM
Welcome bonus
60,000 GC + 2 SC
Welcome bonus
100,000 GC + 2 SC
Every site on this list passed our cashout, free entry, and deposit-pressure checks. The rest didn’t make it.
How We Rate
You can still play sweepstakes games at most major brands in Alabama, even though no other state sees more lawsuits against them. Alabama has no ban, no AG action, and no agency enforcement, only Ala. Code § 8-1-150, an 1852 statute that lets a losing gambler sue to recover their money within six months, after which anyone else can sue on the family’s behalf for another year.
At least 34 class actions have been piled up since 2023, with 21 filed in January 2026 alone. The big brands stayed, regardless, because their terms force these claims into arbitration, and the Alabama Supreme Court backed that up for § 8-1-150 claims in Zynga v. Mills. A handful of smaller brands left rather than fight it.
Our first table lays out what the law allows, and the second shows which brands still take you.
| Are sweepstakes casinos illegal in Alabama? | No. No state statute bans them and no agency has acted. The pressure comes from private lawsuits, not the state. |
| Then why does Alabama have so many sweepstakes lawsuits? | An 1852 loss-recovery statute, Ala. Code § 8-1-150, lets folks sue to recover gambling losses. Plaintiffs argue sweepstakes casinos qualify. |
| How many lawsuits are we talking about? | 34+ active class actions. 13 by mid-2025, then 21 more filed in January 2026. Pilati v. Yellow Social Interactive is the keystone case. |
| Why haven’t the operators left then? | Their terms of service force claims into individual arbitration. The Alabama Supreme Court has upheld that defense, which keeps these cases out of court. |
| Is the legislature working on a ban? | No. Nothing in the 2025 or 2026 session. AG Steve Marshall hasn’t moved either. |
| Can I sign up to a sweepstakes site from Alabama? | Yes. Most major brands still accept Alabama. A handful of smaller ones (and the B-Two family) have exited. |
| Can I get in trouble for playing from Alabama? | No. There’s no criminal liability for players. The statute targets operators and winners, not casual users. |
| Could the site I’m playing on leave next? | Possibly. Smaller brands have already exited under litigation pressure. |
| What other legal gambling alternatives do I have in Alabama? | Wind Creek casinos for electronic bingo, charitable bingo where counties allow it, or horse and dog racing. For online play, your only options stay offshore. No regulated iGaming exists in Alabama. |
| Can I use a VPN to keep playing on sites that have left? | No. Sites verify your location at every login and close accounts that try to mask it. |
| Do I owe taxes on Alabama sweepstakes winnings? | Yes, federal and state. Sweepstakes Coin redemptions are taxed as prizes (not gambling winnings). Operators issue Form 1099-MISC if you receive $600 or more from them in a tax year. Report on Schedule 1 as “Other Income.” Alabama taxes them at the state’s graduated rate (top 5% on income over $3,000 single / $6,000 joint). |
Sweepstakes casinos that pulled out of Alabama
Compare Alabama to its neighboring states.
Yes, and unusually, most of the big names are still here. Alabama has no ban, and the major brands stayed through the lawsuit wave, shielded by arbitration. Only a handful of smaller operators, including the B-Two family, left rather than fight. So, Alabama players have a wider choice than those in many quieter states. You will find the ones that pass our checks in our Alabama toplist.
No, and Alabama has no framework that could enable it. As of 2026, the state runs no lottery, no commercial casinos, and no legal sports betting, so it licenses very little gambling at all. There is no regulator set up to approve an online operator, sweepstakes or otherwise. So, these sites operate under no Alabama license, only under federal sweepstakes law. That absence of any regime is also why the fight here runs through private lawsuits rather than a licensing body.
Because arbitration clauses keep the lawsuits from ever reaching a courtroom. The major brands write terms that force any claim into individual arbitration, rather than a class action. The Alabama Supreme Court upheld that defense for loss recovery claims in Zynga v. Mills. So, the wave of cases filed since 2023 cannot become the mass payout that drove operators out elsewhere.
Because an 1852 law makes the state fertile ground for them. Alas. Code § 8-1-150 lets a losing gambler sue to recover their money, and plaintiffs argue sweepstakes losses qualify. That opening has drawn at least 34 class actions since 2023, with 21 filed in January 2026 alone. Pilati v. Yellow Social Interactive sits at the center of the wave. So, the volume reflects a uniquely inviting statute, not unusually bad operators.
