New Jersey Governor Chris Christie has on more than one occasion stated how important Atlantic City casinos are to the state as far as tax revenues are concerned and with those 11 casinos in operation seeing falling profits it was hoped that the states regulated online gambling venture could boost the coffers and revenue shortfalls that are threatening the states credit rating. Revenues from land based casinos in Atlantic City peaked in 2006 however since then there has been a drop in income of a huge 44% and this drop has threatened jobs and revenues that are adding to Gov Christie's budget problems.
There were high hopes pinned on online gambling in the Garden State with Christie perhaps being a little over enthusiastic with the numbers when predicting that New Jersey would rake in around $180 million in tax revenue in the first year of operations, however it is the sceptics that are proving to be correct and at the present rate that number looks more like $12 Million, which is a huge difference. The extremely slow start to online gaming in the state has been put down to numerous factors, with banks failing to accept credit card transactions being seen as the major issue, and because of that many operations are holding back a little with marketing their product. Overall revenue in New Jersey is down with targets having been missed for three straight years.
Casinos in Atlantic City peaked at providing around $400 Million to state funds however last year that number was down to $205 Million, a huge drop. Taxes from gambling in New Jersey contribute to senior citizens and disabled persons programs and it’s believed that the state will struggle to cover these costs in the near future.
