The State of New Jersey is about to get a ruling on its sportsbetting legal challenge from the Supreme Court, but lawmakers are already preparing for a win by introducing a new bill that would regulate the activity.
The most recent bill was introduced by Assemblypeople Eric Houghtaling, Joann Downey, and John Burzichelli, and would require operators to put up an integrity fee to be paid before wagers are accepted. The Garden State has put up nearly $9 million in legal fees to push the sportsbetting case to the Supreme Court, and is likely looking to recoup those costs quickly.
Fees and taxes included in the bill include:
- Sportsbetting revenues taxes at 12.5%
- $100,000 deposit for each sportsbetting license application, which will be credited toward an initial issuance fee if a license is granted
- Initial issuance fee of $500,000
- Annual renewal fees of $250,000
- Integrity fee equal to the lesser of $7.5 million or 2.5% of sportsbetting GGR
- $500,000 annual fee to the State Government Fund. The state's DHS will appropriate that money to the Council of Compulsive Gambling as well as other compulsive treatment programs
We are eagerly awaiting the Supreme Court's decision on sportsbetting. If the court rules in favor of New Jersey, it will likely open the door to expanded sportsbetting throughout the United States.