NJ Internet Gaming Revenues Up: Total Gaming Numbers Down

On May 14, 2020

The New Jersey Division of Gaming Enforcement reported that total gaming revenue for the month of April was $82.6 million compared to $265.4 million in April 2019, reflecting a 68.9% decrease. Internet gaming win was $80.0 million in April compared to $36.6 million in the prior period, reflecting an increase of 118.6%. Sports wagering gross revenue was $2.6 million for the month.

Jane Bokunewicz, coordinator of the Lloyd D. Levenson Institute for Gaming, Hospitality and Tourism (LIGHT) at Stockton University, commented on the numbers, saying, “The almost 120% increase in internet gaming is a welcomed alternative source of revenue for the casinos and the state of New Jersey. April’s results prove that the gambling public is looking for a substitute while the casinos are closed. However, just like take-out for fine dining restaurants, I think everyone is looking forward to getting back to the full experience.”

For the year-to-date period, the industry’s total gaming revenue was $833.9 million compared to $1.03 billion, reflecting a decrease of 19.1%. Internet Gaming Win increased 78.5% to $251.9 million when compared to the prior period. Sports wagering gross revenue was $86.4 million.

For the month of April 2020, total gaming taxes were $12.4 million. Total gaming taxes reflect 8% of taxable casino gross revenue, 15% of Internet gaming gross revenue, 8.5% tax on casino and racetrack sports wagering gross revenue and 13% tax on casino and racetrack sports wagering Internet gross revenue.

In addition, the casino industry incurred $2.0 million in 1.25% additional tax on sports wagering gross revenue and investment alternative tax obligations (which reflects 1.25% of casino gross revenue and 2.5% of Internet gaming gross revenue). For the month of April 2020, the Racetrack Economic Development Tax of 1.25% of racetrack sports wagering gross revenue was $23,342.

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