When New Jersey Governor Chris Christie’s administration predicted that the state would take in 0 million in taxes from online gaming, most analysts thought the figure was widely optimistic.
And they were right as New Jersey is likely to take in less than $60 million in total online gambling revenue by the time the state’s fiscal year ends in June, let alone tax revenue
Christie’s administration isn’t likely to make the mistake again.
The Newark Star Ledger published an excerpt form a letter from state Treasurer Andrew Sidamon-Eristoff to Sen. Paul Sarlo (D-Bergen).
“Given the complex connections between internet and on-site gaming, we do not break down the anticipated total collections between the two sources,” the letter said.
New Jersey began internet gambling in November—later than Christie had anticipated—and so far has been averaging about $10 million in total online-gambling revenue per month.
The state Division of Gaming Enforcement reported that the state brought in $2.96 million in tax revenue from online gamblers from November through the end of February.
The rollout has been plagued by some technical issues and difficulties with credit card issuers that will not honor online gambling transactions. Still, some 250,000 gambling accounts have been opened and many of the technical issues are improving.
But that isn’t enough, apparently for more rosy projections from Christie.
Treasury spokesman Chris Santarelli declined to comment to the Star-Ledger noting that “the treasurer will appear in hearings with the legislature later this month to discuss the budget and revenues.”
