New Jersey’s internet gaming tax rate rose to 19.75% from 15% on 1 July. The levy applies to internet gaming gross revenue and is deposited into the Casino Revenue Fund.
PlayUSA reported that the higher rate could affect operators’ financial results in the months ahead. A New Jersey Division of Gaming Enforcement tax schedule lists the same 19.75% rate for internet gaming gross revenue.
The change lands in a market that has kept setting records. Online casinos generated $276.3 million in May 2026, up 11.9% from $246.8 million a year earlier and above the previous monthly high of $273.2 million set in December 2025.
Through the first five months of 2026, online casinos took in $1.32 billion, 14.4% more than in the same period last year. They also beat Atlantic City’s nine retail casinos for a ninth straight month, with online win of $276.3 million against $265.6 million in brick-and-mortar gaming revenue.
Retail casino revenue rose just 0.1% year on year in May. Eric Ramsey of Legal Sports Report said the persistent gap reflected the continued expansion of regulated iGaming as an increasingly important part of New Jersey’s gaming business.
New Jersey remains the largest regulated online casino market in the US by monthly revenue, ahead of Pennsylvania and Michigan. Nearly two dozen licensed online casino brands compete for players, with FanDuel Casino at about $64 million in May and DraftKings Casino at roughly $47 million.
