New Jersey Proposes World Cup Betting Surcharge
New Jersey lawmakers have introduced legislation that would generate temporary revenue through special surcharges linked to the 2026 FIFA World Cup.
The bill, HB4838, was introduced on Monday by Assemblyman Michael Venezia and proposes a 10% tax on online sports wagers related to World Cup matches. Under the proposal, casinos and horse racing operators would pay the surcharge based on net betting revenue generated during the tournament.
The measure forms part of a broader funding plan connected to New Jersey hosting eight FIFA World Cup matches, including the final at MetLife Stadium in East Rutherford.
Additional Charges Included in Proposal
The legislation extends beyond sports betting taxes. Between June 12 and July 20, 2026, hotel stays across most counties would be subject to an additional 2.5% fee. Food, beverage and event ticket purchases within the Meadowlands district would also carry a temporary 3% surcharge.
Rideshare trips traveling to and from MetLife Stadium would include a separate $0.50 fee. According to the proposal, all proceeds collected through these temporary charges would be directed into New Jersey’s General Fund to support expenses tied to hosting the tournament.
To reduce the financial impact on residents, the bill includes a provision allowing individuals to claim a tax credit for surcharges they personally pay during the event period.
Sports Betting Levy Targets World Cup Activity
The proposed 10% surcharge would apply specifically to online wagers placed on World Cup matches, groups of matches and player-related statistics throughout the competition.
Operators would be required to submit payments by August 10, 2026, while oversight and enforcement responsibilities would fall under the Division of Gaming Enforcement.
The legislation reflects New Jersey’s attempt to use the expected increase in tourism and betting activity during the World Cup to help offset hosting-related costs.
Revenue Estimates
The potential revenue generated through the sports betting surcharge will depend on both betting volume and sportsbook hold percentages during the tournament.
Legal online sports betting was not available when the United States hosted the FIFA World Cup in 1994, making direct historical comparisons unavailable. However, industry estimates provide some context for the possible market size.
The American Gaming Association estimated that bettors wagered approximately $1.8 billion nationally on the 2022 World Cup in Qatar. For the 2026 tournament, Vegas Insider projects national betting handle could rise to $3 billion.
As one of the largest sports betting markets in the United States, New Jersey accounts for roughly 8% of national betting activity. Based on the projected handle, wagers placed within the state could reach around $240 million during the tournament.
According to estimates referenced by InGame, if sportsbooks achieve a 10% hold on those wagers, taxable revenue would total approximately $24 million. Applying the proposed 10% surcharge could generate close to $2.4 million in additional revenue for the state.
