Nj Sports Gambling Tax Revenue

1. Nj Sports Betting Tax Revenue
2. Nj Sports Gambling Tax Revenues

Sports betting winnings are subject to the same 24% federal tax rate as other gambling winnings. The winners are also responsible for paying the applicable local taxes. The current NJ tax rate is 8.5% for retail sportsbook wins and 13% for wins at online sportsbooks or on mobile apps. New Jersey sports betting handle totaled more than $4.58 billion in 2019, and taxes on revenue won by the mobile and land-based sportsbook operators delivered over $36.5 million to state and local. If you win more than $5,000 from gambling, the payer (i.e., the casino) generally will withhold 24 percent for taxes. A week after Delaware rolled out legal sports betting, New Jersey now also has.

New Jersey sports betting operators posted impressive revenue numbers in November.

Operators generated $21.2 million in revenue with a massive $330 million in overall handle. There were also some interesting findings regarding mobile and online betting, but we’ll get to that in a little bit.

Revenue figures are drastically up from October, which saw NJ sportsbook take in just $11.7 millionin revenue while increasing to $260 million in total wagers.

Sports betting is taxed at 8.5 percent which resulted in $2.45 million in tax revenue for the Garden State in November.

Breaking down the numbers

DraftKings Sportsbook and FanDuel Sportsbook continue their dominance in the newly formed NJ sports betting market. The pair combined yet again for roughly two-thirds of overall revenue generated.

Here is a November breakdown of total sports betting revenue in New Jersey.

• Bally’s Wild Wild West (Caesars, 888) – $178,489
• Borgata (playMGM) – $1,072,047
• Golden Nugget – $130,874
• Harrah’s – ($124,260)
• Meadowlands (FanDuel) – $7,043,394
• Monmouth Park (William Hill, SugarHouse) – $2,679,395
• Ocean Resort (William Hill) – $2,824,762
• Resorts (DraftKings, BetStars) – $7,330,503
• Tropicana – $108,751
• Total – $21,243,865

Nj Sports Betting Tax Revenue

For the year-t0-date, the industry’s total gaming revenue was $2.645 billion for 2018 compared to $2.452 billion in 2017, according to the NJ Division of Gaming Enforcement.

Nj Sports Gambling Tax Revenues

Move over retail, online is king

According to numbers posted by the Division of Gaming Enforcement, more than 72 percent of money wagered on sports in New Jersey in November came via mobile and online platforms.

Looking at the $330 million in overall handle collected, more than $238 million can through a digital channel.

• Total Online – $14,446,570
• Total Retail – $6,797,295

It must be noted that sports betting on the East Coast is still in its infancy. But it’s clear that when it comes to placing wagers, customers prefer the ability to place a bet via mobile devices rather than taking the trip down to a casino.

Since its inception in June, sports wagering total gross revenue was $73.2 million.

The numbers are no surprise

Jeff Gural, who runs the Meadowlands Racetrack told the Hartford Courant, he wasn’t surprised at how fast the sports betting market is growing.

“I was there Sunday, and the place was packed. So many of those games went right down to the last minute. It was really exciting,” he said.

A major contributor to the growing NJ market has been football, which represents the largest share of the action since sports betting emerged on June 14.

So far, $328 million has been wagered on the collegiate and professional football. New Jersey appears to be holding its own, especially when compared to the birthplace of sports betting, Nevada.

Nevada took in $1.8 billion worth of sports bets from mid-June through the end of October. Bettors in New Jersey have placed roughly $928 million on sporting events in the state.