![]() Newsletter Signup
Stay informed with the
NEW Casino City Times newsletter! |
Gaming News
Atlantic City Budget Plan Pounds Casinos4 February 2003ATLANTIC CITY – As reported by the Press Plus of Atlantic City: ``The lovefest between Gov. James E. McGreevey and Atlantic City casinos is over. ``On Monday, McGreevey proposed casino taxes that figure to cost the industry at least $135 million this year, which would wipe out its net profit and reduce its cash flow by 11 percent. ``McGreevey, trying to bridge a $5 billion state budget gap, said he wants to raise the casino-revenue tax to 10 percent from 8 percent; impose a sales tax on the rooms, meals and other incentives casinos give free to their best gamblers; and impose a 7 percent occupancy tax on hotel rooms statewide. ``…Experts said the timing is bad for the casino industry: It's coming off a year in which revenue grew only 2.4 percent and casino-style gambling likely is coming to nearby states. ``Dennis Gomes, Casino Association of New Jersey president, called the plan "a ridiculous proposition." ``…Gomes said the cost to the industry would be closer to $200 million if all taxes are enacted. ``…The 8 percent casino-revenue tax has never changed since the first casino opened 25 years ago. ``… McGreevey has `no interest in harming the casino industry,' said the governor's spokesman, Micah Rasmussen. `But these were tough decisions that had to be made.'…" |