NJ court to determine millions in casino tax revenue
NJ fights appeal by Atlantic County on local taxes from the Atlantic City gaming industry
An appeals court in New Jersey is set to decide if the state must pay millions more in casino tax revenue to Atlantic County and collect millions more in local taxes from the Atlantic City gaming industry over the next four years.
The dispute over the Payment in Lieu of Taxes (PILOT) program began in early 2022 when a conservative nonprofit filed a lawsuit claiming the state's Constitution prohibits preferential tax treatment.
The industry successfully lobbied for a key legislative change to the PILOT formula in 2021, excluding online gaming from the program, which Atlantic County Superior Court Judge Michael Blee invalidated in August.
The state is appealing Blee's decision in that case, and in the second case, Atlantic County has argued that the new PILOT violated a 2018 contract it made with the state.