In our spooky edition of the show, we follow up on the scary New York mobile sports betting news, as they have doubled down on their ridiculous tax rate! It’s a move that some fear could set the industry up for failure before they even launch. We also talk about the record breaking sports betting revenue from the state of New Jersey, and how Pennsylvania is close behind with monstrous sports betting revenue of their own!
Hello my friends, and welcome to this Halloween edition of This Week in Gambling, where we have scary New York mobile sports betting news! Well, not so much ‘scary’ as say, stupid. But still, it’s this week’s big story! Last week I told you about New York mobile sports betting, and how they plan to launch before the Super Bowl next year. However, as operators are throwing elbows and jockeying for position to gain access to the state, the Gaming Commission seems to be more interested in profiteering.
Back in July, we did a show asking if mobile sports betting in the state of New York was doomed before it ever got started, due to the exorbitant tax rate they planned to place on operators there: 50%! However, after some careful consideration, the state has now raised that tax rate to 64%! Or, in other words, the state’s going to be nice enough to allow operators to keep 36% of what they earn!
Now in other states, the legislature sets the tax rate. After all, they are the lawmakers! But not in New York! Oh no, no! There the tax rate is set by the Gaming Commission, which does make me wonder: What the hell are they thinking? Are they trying to set up this system for failure? Are they just bad at math? Or (and this is probably the winner), are they trying to keep up with their neighbors across the river in New Jersey? Who (by the way) just set another sports betting revenue record!
Yes, the state of New Jersey just took in over $1 billion dollars in sports wagers in the month of September! Marking the first time ever that any state has crossed that billion dollar mark! Oh, and it may interest you to know that New Jersey taxes mobile sports betting operators at just over 14%. Also, Pennsylvania sports betting just had their second largest month ever, bringing in $580 million dollars! Mostly due to the kickoff of the NFL Season. Oh, and their tax rate is just 36%. Or, they allow their operators to keep 64% of what they make!
But back to New York mobile sports betting news for just a moment, because there is a provision that could lower that 64% tax rate: If the state licenses 10 to 12 operators, then the tax would drop all the way down to just 50%. But, if the state licenses more than 12 operators, then the tax drops to a more reasonable 35%. This has some lawmakers in the state pleading with the Gambling Commission to accept any operator with an appropriate license, who is reputable and in good standing, because after all, that would be best for the state and the players! Of course, that might not be the best thing for the Gaming Commission, so we’ll have to watch what happens.
Since we’re trying to get into the Halloween spirit around, here I have two new game reviews to share with you this week! First up, it’s the Happy Halloween online slot from our friends at Play’n GO… a five reel, 50 payline game with tricks & treats! There are wild and scatter symbols, and a gamble feature! Next up, join the un-dead when you play the Zombie Hoard, a five reel, nine payline slot from Microgaming! It has scatters, super stacked wilds, and free spins! Both games are available right now on our YouTube channel.