New Jersey gaming taxes hit a record USD 925.7 million in fiscal 2026 as online casino revenue keeps rising

New Jersey’s fiscal 2026 gaming tax take reached USD 925.7 million, up 42.3% from the previous year, while the state’s Casino Revenue Fund (CRF) climbed to USD 937.3 million after parking, hotel revenue, and forfeited winnings were added in. For high-risk operators and PSPs, the important part is simple: the state took more, because digital gambling kept growing and the tax rate went up with it.

1. New Jersey set a new record for gaming taxes in fiscal 2026 at USD 925.7 million. The increase was 42.3% year over year, driven mainly by higher online gambling taxes and continued growth in New Jersey online casinos.
2. The state’s Casino Revenue Fund (CRF) reached USD 937.3 million for the fiscal year once additional contributions from parking, hotel revenue, and forfeited winnings were included. That makes the revenue picture bigger than just gaming tax receipts, but the tax line is still doing the heavy lifting.
3. Online casinos were the main growth engine. Internet gaming revenue in 2025 was USD 2.91 billion, up 22% from the previous year. In the first half of 2026, revenue across state-licensed digital platforms reached USD 1.59 billion, with online casino revenue up 15% year over year during the fiscal period.
4. Physical casinos in Atlantic City did not move nearly as fast over the same period, and sports betting was slower too: sports betting revenue grew by 7.5% in 2025, falling to 7.1% by June 2026. In other words, the state’s digital casino platforms kept outpacing every other gambling sector tracked by regulators.
5. New Jersey raised its online casino and sports betting tax rates to 19.75% on July 1st, 2025, from 15% and 13%, respectively. Land-based Atlantic City casinos still pay 8% on taxable gaming revenues, while retail sportsbook operators pay 8.5%. Former NJ Gov. Phil Murphy had proposed 25% earlier in 2025, but the final budget landed lower.

For operators, the practical effect is a sharper cost base: casinos now pay USD 197,500 in taxes for every million dollars in digital gaming revenue, up from USD 150,000 under the previous system. The tax change applies to operators, not customers, so it does not add deposit or withdrawal charges and does not change taxes consumers pay on personal winnings. BetMGM Casino and FanDuel Casino had lobbied for exemptions before final legislative approval, warning that higher taxes would force platforms to cut promotional rewards.