This bill proposes an increase in the tax rates for Internet casino gaming and Internet sports wagering in New Jersey. Specifically, the tax on Internet gaming gross revenues will rise from 15 percent to 30 percent, and the tax on Internet wagering from sports events will increase from 13 percent to 30 percent. Additionally, an extra tax of 1.25 percent will be imposed on Internet sports wagering, which will be allocated to the Casino Reinvestment Development Authority for marketing and promotion of Atlantic City.

The bill also clarifies that the 8 percent tax on casino gross revenues will not apply to Internet gaming gross revenues, and it maintains the existing investment alternative tax rates of 5 percent and 2.5 percent. The changes are set to take effect on January 1 following the date of enactment. Overall, the legislation aims to enhance revenue from online gaming and sports wagering, directing funds to support various initiatives, including economic development and responsible gambling programs.

Statutes affected:
Introduced: 5:12-95.19, 5:12A-16