Atlantic City’s top casino, Borgata Hotel Casino & Spa, has been accused of underpaying its online gambling taxes by a staggering $1.1 million, according to regulators. The New Jersey Division of Gaming Enforcement made the announcement on Monday, sending shockwaves through the gambling industry in the famed resort city.
The discrepancy stems from a software glitch that occurred over a period of 6 months, leading to inaccurate tax reporting by the casino. The Division of Gaming Enforcement discovered the issue during a routine audit and immediately alerted Borgata officials. The casino has since taken responsibility for the error and pledged to rectify the situation promptly.
In a statement released to the press, Borgata President Marcus Glover expressed regret over the oversight and vowed to work closely with regulators to resolve the matter. He assured customers that the glitch had no impact on their gaming experience and emphasized the casino’s commitment to compliance with state regulations.
Despite Borgata’s cooperation, the news has raised concerns about the oversight of online gambling operations in Atlantic City. With the industry growing rapidly in recent years, regulators face new challenges in monitoring tax compliance and ensuring a level playing field for all operators.
The $1.1 million underpayment represents a significant sum for Borgata, which is owned by MGM Resorts International. The casino has been a key player in Atlantic City’s revitalization efforts, drawing visitors with its luxurious amenities and renowned entertainment offerings.
As regulators investigate the tax discrepancy further, industry analysts are watching closely to see how the incident will impact Borgata’s reputation and bottom line. The casino’s online gaming revenue totaled $97 million in 2020, accounting for a significant portion of its overall earnings.
In the meantime, Borgata officials are working diligently to address the issue and prevent similar occurrences in the future. The casino remains open for business, welcoming guests to enjoy its world-class gaming facilities and unparalleled hospitality.
For now, the underpayment scandal serves as a cautionary tale for Atlantic City’s gaming industry, highlighting the importance of robust oversight and compliance measures. As the city continues to position itself as a premier gambling destination, maintaining the integrity of its operations will be crucial to sustaining growth and success in the years to come.