Genting Floats $1B in Tax Revenue if Resorts World Gets New York Casino License

Genting, the Malaysia-based company that owns the Resorts World New York City racino says that its tax bill to the state of New York would rise to $1 billion or more annually if it wins a full casino license in the state, according to a Bloomberg report.

Genting is one of many major players looking to capture three downstate casino licenses in New York.

Resorts World Already Pays $600M Annually

A Genting spokesperson told Bloomberg that the company paid more than $600 million in taxes to the state in 2023. Currently, Genting’s Resorts World facility in Queens can only offer electronic games, but would be able to add a full range of slot machines and table games were it to receive one of the available licenses.

Genting currently pays approximately 67 percent in slot machine revenues back to the state, and is pledging to propose the same percentage in its application for the full casino license. It would also pay some tax on its gross gaming revenue for table games, though that number would almost certainly be lower.

New York State regulations allow license applicants to propose tax rates as part of their applications. The minimum tax rate on slot machines is 25 percent of gross gaming revenue, with a minimum 10 percent rate from all other gaming sources.

According to the Bloomberg report, Genting believes the added tax revenue would push its contribution to the state’s coffers over the $1 billion mark annually.

Longer Hours, Credit Raise Revenue Projections

There are several reasons for this. While table games and other offerings would add some additional revenue, a full license would also likely drive more traffic to Resorts World’s electronic offerings as well. In addition, the downstate license would allow the casino to now stay open 24 hours a day, and offer credit lines to bettors – both factors that would inevitably increase overall gaming revenue and, in turn, generate more in taxes.

That wouldn’t be the only cost to Genting, either. Firms that win the three downstate licenses most pay a one-time fee of $500 million to the state. 

The fact that Genting is willing to pay both the up-front fee and a high percentage of its take from slot machines is an indication of just how valuable these licenses are expected to be, and how fierce the competition for the three available slots has become.

Other major competitors vying for these licenses include Caesars, Wynn, MGM, and New York Mets owner Steve Cohen, who wants to build a casino next to Citi Field. While many of these projects are located in New York City proper, there are also contenders for licenses in Westchester County and Long Island as well.

However, both the potential applicants and gamblers who want to visit these casinos may have to while before the full casinos open. The New York State Gaming Commission now says that licenses aren’t likely to be awarded until late 2025, owing to environmental reviews, land use laws, and other hurdles that must be overcome before casino projects can be approved.

(Image: Associated Press/Alamy)