Atlantic City Taxpayers Could Be Afforded Reduced Property Tax if Sports Betting Bill Passes
Atlantic City officials have long soft their foiling with the fact that local residents make out non directly do good from legal sports betting occurring in their town.
Legal sports betting inwards New Jersey began inwards June of 2018 less than a month after the US Supreme Margaret Court struck downwardly the federal law of nature that had antecedently prohibited such play remote of Nevada. Mobile operations went unrecorded that August.
Gross gaming revenue (GGR) from sports betting is depicted object to an 8.5% assess on in-person bets. Online sportsbook revenue is taxed higher at 13%.
Sportsbook income — irrespective of where it originates — is to boot subjectto a 1.25% add-on tax. That money is currently earmarked for the Casino Reinvestment Development Authority (CRDA). The CRDA cash in hand are to “be used exclusively for touristry and marketing programs for the City of Atlantic Ocean City.”
The 1.25% sports betting revenue enhancement equated to just about $3.8 1000000 lastly year for the CRDA.
Senate Bill 854 seeks to reallocate the 1.25% direct to Atlantic City. If the lawmaking passes and is signed past New island of Jersey Governor Phil Murphy (D), the money would be used to bring down belongings taxes for urban center residents. Sen. Ilium Singleton (D-Moorestown) is the primary sponsor.
SB854 narrowly passed the Senate Budget and Appropriations Committee today past a 3-2 vote. It at present moves to the good Senate for additional consideration.
Something for the People
Atlantic City Mayor Marty Small Sr. (D) has been adamantine since taking office staff inwards the settle of 2019 that his constituents deserve a piece of the sports betting pie. The politician, who won his first of all full four-year full term inwards November, points out that none of the various supplemental add-on taxes guests incur at Atlantic Ocean City resorts benefit Atlantic Ocean City residents.
Small highlighted the fact that the parking tax, solid food and drink tax, hotel tenancy tax, and sports betting revenue enhancement all lead towards either the land or CRDA — not Atlantic Ocean City’s coffers.
When are we sledding to acquire our slice of the pie?” Small of late questioned.
Host towns outdoors of Atlantic Ocean City where retail sports betting operates are afforded some financial benefit. East Rutherford, home to the Meadowlands’ FanDuel Sportsbook, receives 0.75% of the sports betting income. Oceanport, nursing home of Monmouth Park’s Caesars Sportsbook, collects 0.5% of the sportsbook GGR.
Atlantic City Control
Atlantic City was placed below state hold inwards 2016 as it faced bankruptcy. Then-Gov. Chris Christie (R) and the Democratic-controlled Legislature voted to acquire financial check of the casino town as its finances spiraled into disorderliness because of the closings of quaternion casinos between 2014 through and through that year.
Last June, current Gov. Phil Murphy (D) extended the country takeover for an additional IV years. The takeover gives capital of New Jersey to the highest degree decision-making powers regarding Atlantic City’s governance.
New island of Jersey lawmakers added on the 1.25% sports betting taxation through legislating passed inwards 2018 and signed past Murphy. Instead of thinning Atlantic City into the 1.25% sports betting task as a beneficiary, lawmakers opted to airt the town’s divvy up to the CRDA due to its remaining below tell oversight.