Daily fantasy sports operators, FanDuel and DraftKings, congratulated the New Jersey government for taking the steps to formally approve DFS betting within the state. Both companies already operate in New Jersey since they have, in the past, received approval by the Division of Gaming Enforcement that they fall within the realms of gambling laws in the state. However, the move will now legitimize their presence under new state law and will also mean that they will need to apply for a license through the Division of Consumer Affairs.The bill was signed into law by Governor Chris Christie in recent days and will take effect within the next 90 days.
Some of the key points of the new law include:
- DFS operators will have to pay taxes on their gross gaming revenue.
- The rate will be 10.5% tax on revenue derived from New Jersey DFS players.
- Only players 18 years old and over can bet on DFS games.
- DFS operators will be allowed to partner with Atlantic City casinos and state racetracks.
The state hopes to make around $6.6 million in tax by legalizing daily fantasy sports betting.
The state senate actually approved A 3532 (also known as S 1982) at the beginning of July this year, but it was only signed into law by Christie last week. While New Jersey is the 16th state to pass DFS betting laws, it is the first to allow wagering on college games.
