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Atlantic City casino taxes rise for third straight year

A recent report from the state Division of Gaming Enforcement shows the Atlantic City casino industry paid nearly $219 million in taxes and fees during the 2018 fiscal year, which ran from July 1, 2017, to June 30, 2018. In a separate report released by the same agency, the casino industry paid more than $280 million in taxes and fees in the 2017 calendar year, plus an additional $35 million in city taxes and fees. The figures represent taxes paid on total gaming and progressive slots as well as fees paid on hotel rooms and parking spaces. Since its inception in 2013, internet gaming taxes have accounted for a larger portion of total gaming taxes each year. According to the calendar-year report, internet gaming taxes accounted for $22.4 million in 2015, while last year online gambling taxes totaled $36.9 million. Competition, expansion may spell trouble for Atlantic City casinos Atlantic City is still the nation’s second-largest commercial casino market, but gaming expa… Rummy Pandit, executive director of the Lloyd D. Levenson Institute of Gaming, Hospitality & Tourism at Stockton University, said that while gross revenue tax has remained relatively consistent over the last three calendar years — $174.7 million in 2015, $175.7 million in 2016 and $174.7 million in 2017 — the growth witnessed in the total gaming revenue tax has “therefore, come primarily from increases in the internet gross revenue tax.” “In 2015, taxes on internet gaming revenue represented 11 percent of total gaming revenue taxes and have increased incrementally year-over-year,” Pandit said. “For the six months ended June 30, 2018, internet gaming revenue taxes represented 20 percent of total gaming revenue taxes.” In New Jersey, casino slot and table game revenue is taxed at 8 percent, while internet gaming revenue is taxed at 15 percent. Sports betting, which commenced at the state’s racetracks and Atlantic City casinos in the spring, is taxed at 8.5 percent.

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Upper Peninsula Tribe files suit in downstate casino land bid

The lawsuit alleges the decision to withhold trust status for these lands was arbitrary and capricious and violated his mandatory duty under the Michigan Indian Land Claims Settlement Act, a federal law intended to redress unconscionable actions that stripped the tribe of its land base in the nineteenth century. The act created a “self-sufficiency fund” and authorized the tribe to use the interest from that fund for “the consolidation or enhancement of tribal lands” or for the “social welfare” of tribal members. It specified that any lands purchased by the tribe under this provision “shall be held in trust by the Secretary.”  The tribe plans to use these lands for casino gaming facilities and, potentially, for other tribal business and governmental activities. It is expected these projects will each generate hundreds of good paying jobs and will make a very substantial economic contribution to their respective local communities. The projects have enjoyed strong support from the affected local governments, both of which entered into government-to-government agreements with the tribe dealing with such matters as law enforcement jurisdiction and revenue sharing.

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