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Governor Murphy of New Jersey has Granted a Five-Year Extension to Legal Online Casinos in the State

NJ online casinos law extension

Legal online gambling will be available in New Jersey until at least 2028. Governor Phil Murphy approved legislation granting a five-year renewal of the state’s internet gambling law on June 30.

While it isn’t the ten years originally suggested in legislation, it does ensure that NJ online casino sites will be there for another half-decade.

After the Extension of the NJ Online Casino Statute was Enacted, there were more Questions than Answers

Since its legalization in 2013, online casinos in New Jersey have produced over $6.3 billion in revenue, along with more than $928 million in taxes. The approval from 2013 was slated to come to an end in November.

The new law took effect barely hours following the state Assembly (76-2) along with Senate (37-0) approving an extension that had been changed twice without explanation.

The original proposal, published in 2022, asked for legal online gambling to be permitted until 2033. Two Senate committees, including two Assembly committees, approved the 10-year extension, the latter as recently as June 22.

Last Monday, an Assembly budget committee changed it to two years. It was changed to five years a few days later.

For a Clear Sense of Development, Follow the Money

Trenton legislators moved quickly to protect the state’s new casino Golden Goose. Internet gaming, excluding sports, produced roughly $64.3 million more tax income for the state as Atlantic City casinos between January 2019 and May 2023.

Since 2020, online gaming taxes have topped AC in-person gambling levies. In 2023, iGaming taxes ($117 million) will overtake AC gambling taxes ($70.5 million).

Online betting is taxed at a rate that is greater (15%) than Atlantic City casino earnings (8%) or NJ sports betting (13%).

Is Trenton Looking for a Bigger Piece of the Online Gaming Pie?

It could be at the heart of the mysterious changes that occurred in Trenton last month. Some believe policymakers were sending an indication to Atlantic City casinos and their internet gambling partners that a higher rate of taxation is on the way.

Pennsylvania levies a 54% tax on online slot earnings and a 16% tax on non-poker table games. Michigan, which recently surpassed New Jersey as the country’s largest legal iGaming market, levies a 20% tax on earnings under $4 million and a 28% tax on revenue exceeding $12 million.







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