In a shocking turn of events, New Jersey’s top casino, Borgata, located in Atlantic City, has come under fire for allegedly underpaying its online gambling taxes by a whopping $1.1 million. The news has sent shockwaves through the gambling industry and raised questions about the integrity of one of the state’s most prominent casinos.
The allegations of underpayment stem from an audit conducted by the New Jersey Division of Gaming Enforcement, which uncovered discrepancies in the amount of taxes paid by Borgata on its online gambling revenue. According to the audit, Borgata failed to account for certain promotional credits and bonuses given to players, which should have been included in the calculation of the casino’s taxable revenue.
The $1.1 million discrepancy represents a significant sum of money, even for a casino as large and profitable as Borgata. The casino, which is owned by MGM Resorts International, has long been a major player in the Atlantic City gambling scene and has consistently ranked as one of the top revenue-generating casinos in the state.
The audit findings have raised concerns among regulators and lawmakers about the effectiveness of the state’s oversight of online gambling operations. New Jersey has been a pioneer in the regulation of online gambling, and the industry has been a significant source of revenue for the state since it was legalized in 2013. However, the recent revelations about Borgata’s underpayment of taxes have cast doubt on the reliability of the system.
The Division of Gaming Enforcement has indicated that it will take action to ensure that Borgata pays the full amount of taxes owed on its online gambling revenue. This could include fines or other penalties for the casino, as well as potential changes to the regulations governing online gambling in the state.
In response to the audit findings, Borgata has stated that it is cooperating with the Division of Gaming Enforcement and is committed to resolving the issue in a timely manner. The casino has also pledged to strengthen its internal controls to prevent similar discrepancies from occurring in the future.
The news of Borgata’s alleged underpayment of taxes has sent shockwaves through the gambling industry and raised concerns about the oversight of online gambling operations in New Jersey. As regulators and lawmakers work to address the issue, the future of online gambling in the state remains uncertain.
