New Jersey is the third largest state in the U.S. when it comes to gaming revenue. In 2014, New Jersey’s eight commercial casinos generated $6.7 billion in economic activity and $1.2 billion in taxes.1 But a 2016 referendum could see New Jersey expand its casino count. In November, voters will be asked whether to approve two new casinos in the northern part of the state.
New Jersey Plans 2016 Referendum to Build Casinos outside Atlantic City
A public hearing on one of two plans to ask voters whether to allow two new casinos to be built in northern New Jersey was held on January 7, 2016. Both houses of the State Legislature have been unable to agree on a measure.2
The first public hearing on December 21, 2015 took the side of the Senate, which would require both casinos to be owned by an existing Atlantic City casino operator. The Assembly hearing on January 7, 2016, discussed the merits of having only one of the new licenses owned by an existing Atlantic City casino.
Expanding casinos to other areas outside of Atlantic City requires amending the state’s Constitution. A November 2016 referendum—which would take place at the same time as the American Presidential election—would ask whether or not to approve two new casinos in separate locations in northern New Jersey.
If New Jersey voters agree to amend the state Constitution and permit new casinos beyond Atlantic City, it would mark the biggest change in legalized gaming since 1978, which is when casinos in Atlantic City began to operate.3
While the two locations are not being specified, the most discussed locations are Jersey City and the Meadowlands Racetrack in East Rutherford.
Borgata Hotel Casino & Spa
Regardless of how the referendum turns out, New Jersey will continue to be a popular travel destination for Canadians. In fact, the Jersey Shore has long been a major vacation destination for Canadians. Each year, Canadian tourists spend an average $168 million in the state.4
For those who like to gamble, the Borgata Hotel Casino & Spa is the place to go in Atlantic City. The casino hotel has 2,000 guest rooms and suites—ranging from the 460-square-foot Classic Rooms to the two Residences at 5,000 square feet each—to satisfy any budget.5
But what people really come for is the gaming. The Borgata Hotel Casino & Spa has a 161,000-square-foot casino floor with 3,475 slot machines and more than 250 gaming tables. Some of the more popular gaming tales are poker, Baccarat, Racebook, Pai Gow tiles, blackjack, roulette, and Sic Bo. The casino is also home to the largest poker room in Atlantic City.
The Borgata casino recently announced it was investing $14 million in 2016 to create a new entertainment facility that would house a nightclub and cover 18,000 square feet.6 In addition to restaurants, nightclubs, and live entertainment, there is the 54,000-square-foot Spa Toccare. For those who like to shop, there are 10 specialty boutiques.
Caesar’s Atlantic City Hotel & Casino
Winner of the Trip Advisor 2015 Certificate of Excellence award, Caesar’s Atlantic City Hotel & Casino opened as a casino in June 1979. Today, the property’s 145,000-square-foot casino has more than 2,200 gaming machines with denominations ranging from one cent to $1,000.7
It also has 177 table games and more than 20 smoke-free poker tables, including games like Texas Hold ’em, and Limit and No-Limit Hold ‘em. Plus, the casino has an excellent poker room called The Arena, which is open 24/7 for live cash games. High-limit games are available based on demand.
In addition to a well-appointed hotel, you can enjoy yourself in the state-of-the-art Qua Baths and Spa. There is also The Playground at Caesars, which offers retail, dining, and an exciting nightlife and was built on a 900-foot pier above the Atlantic Ocean.8
U.S. Lottery Winnings Subject to 30% Withholding Tax
If you are a non-U.S. resident and you win a significant amount of money at a casino in Atlantic City, or on pari-mutuel wagering, keno, playing the lottery, or on a game show, your winnings could be subject to a 30% withholding tax. But, if you live in a country like Canada, which has signed a U.S. tax treaty, you may be eligible for a refund.
Some of the countries that do not have a U.S. tax treaty, but may still be eligible for a refund, include: Australia, Bahrain, Barbados, Brazil, China, India, Indonesia, Israel, Kuwait, Mexico, Malaysia, Monaco, New Zealand, Norway, Saudi Arabia, Singapore, South Korea, Switzerland, Taiwan, Thailand, and the U.A.E. However, based on a recent court case, winners from these countries may qualify for a refund if they meet certain criteria.
If you win a substantial amount gambling (typically over $1,200), your winnings are subject to a 30% withholding tax by the IRS. If you win $3,000 playing the slots, the casino will pay you $2,400. The IRS keeps the rest.
RMS is the Easiest, Fastest Way to Get Your Money Back
If you’ve been to the U.S. and had 30% of your winnings held back by the IRS, Refund Management Services (RMS) can help you reclaim a portion or all of your taxable winnings.
Founded by a Canadian Chartered Accountant in 1998, RMS is the most reliable and experienced gaming and casino tax refund provider for non-U.S. residents. Only RMS has the One Simple StepTM process. Our customer service agents take care of the rest.
Once you provide us with complete documentation, your claim will be processed and we will submit it to the IRS. We’ve never been refused for an eligible refund. Contact us today by calling our toll-free number at 1-888-272-5559 or by emailing us at [email protected]!
1.“New Jersey,” Get To Know Gaming, last accessed January 5, 2016; http://www.gettoknowgaming.org/sites/default/files/AGA_FactSheet_NewJersey14.pdf.
2.Parry, W., “Hearing set for Jan 7. on N.J. Assembly casino referendum plan,” NorthJersey.com, December 28, 2015; http://www.northjersey.com/news/hearing-set-for-jan-7-on-n-j-assembly-casino-referendum-plan-1.1481498.
3.Parry, W., “New Jersey plans 2016 referendum on expanding casinos beyond Atlantic City,” U.S. News, December 11, 2015; http://www.usnews.com/news/business/articles/2015/12/11/nj-plans-vote-on-expanding-casinos-beyond-atlantic-city.
4.Cutter, J., “South Jersey Sees Big Increase in Canadian Tourism,” New Jersey 101.5 web site, August 12, 2013; http://nj1015.com/south-jersey-sees-big-increase-in-canadian-tourism-audio/.
5.“About Us,” Borgata Hotel Casino & Spa, web site, last accessed January 6, 2016; https://www.theborgata.com/.
6.Kingsley, R., “Borgata Casino to invest $14 million in new nightclub for 2016,” World Casino News, December 31, 2015; https://news.worldcasinodirectory.com/borgata-casino-to-invest-14-million-in-new-nightclub-for-2016-20052.
7.“Caesars Atlantic City Hotel & Casino,” World Casino Directory, last accessed January 5, 2016; https://www.worldcasinodirectory.com/casino/caesars-atlantic-city-2849.
8.“The Playground,” Caesars Atlantic City web site, last accessed January 5, 2016; https://www.caesars.com/caesars-ac/things-to-do/the-pier-shops#.Vo2FCsYrKM8.