A bill introduced in the New Jersey Senate would double the state tax imposed on online gaming and online sports betting revenues. The measure, introduced by state Senator John McKeon, proposes to increase the tax rate on both revenue streams to 30 percent.
Currently, online casino operators pay 15 percent in tax, plus an additional 2.5 percent to the Casino Reinvestment Development Authority. Online sport betting revenues, including the ubiquitous mobile sports betting, are taxed at 14.25 percent. The proposed tax hike on mobile sports betting would make it one of the highest in the U.S.
New Jersey’s online gaming and sports betting revenues have led the nation, and the state is known as one of the most operator-friendly as fare as tax rates. Neighboring New York imposes a 51 percent iGaming tax, Pennsylvania 36 percent. Delaware, New Hampshire and Rhode Island impose taxes between 50 percent and 51 percent.
