Posted on: December 7, 2023, 12:24h.
Last updated on: December 6, 2023, 12:47h.
In a recent op-ed, influential New York lawmakers argued that legalized iGaming and online lottery games could bring the state as much as $1 billion in new annual tax revenue.
State legislators are eager to emulate the success of online sports betting, which brought in just under $1 billion in tax revenue in its first year. With the state’s budget deficit ballooning, they believe iGaming and iLottery can significantly help fill funding shortfalls.
“Solving [the budget deficit] will require many difficult choices, but a good first step to beat the odds is right in front of us: we can double the substantial revenue we get from mobile sports betting through the legalization of iGaming (online gambling) and iLottery (online state lottery).”
iGaming, Lottery Bills Forthcoming
In January, this duo of gaming-arts advocates will introduce legislation to greenlight iGaming and iLottery in the Empire State, citing the successful implementation of similar measures in neighboring states like New Jersey and Pennsylvania.
Reports suggest that states with legalized iGaming are seeing an increase in tax revenue without adversely affecting brick-and-mortar gambling businesses,” the lawmakers concluded.
iGaming Trounces Online Sports Betting
While sports betting is undoubtedly popular, it’s iGaming that generates a far more substantial income for online casino platforms, translating into a greater tax income.
In 2022, New Jersey’s iGaming operators generated gross gaming revenue (GGR) of $1.66 billion, compared to $763 million in sports betting. iGaming taxes totaled nearly a quarter of a billion dollars, as opposed to $92.9 million in tax revenue generated from sportsbooks.