February marked an eventful month for the casino industry in Massachusetts as the state’s three prominent casinos – Plainridge Park Casino, MGM Springfield, and Encore Boston Harbor – reported a significant milestone in combined taxable gaming revenue. This achievement comes just after the recent launch of sports betting at these establishments, ushering in a new era of entertainment and revenue generation.
Breaking Down the Figures:
According to the Massachusetts Gaming Commission, these three casinos collectively generated a remarkable $100 million in taxable gaming revenue in February. This revenue encompasses earnings from traditional casino wagering and retail sports betting.
Encore Boston Harbor reported an impressive gross gaming revenue (GGR) of $62.7 million.
MGM Springfield contributed $23 million to the combined revenue.
Plainridge Park Casino, a Category 2 slots facility, added $12 million to the tally.
It’s important to note that sports wagering was introduced at these casinos on January 31, 2023, marking the first full month of operations in February. During this initial phase, approximately $2 million in gross sports wagering revenue (GSWR) was generated, indicating a promising start for the sports betting segment. Moreover, Massachusetts witnessed the launch of online sports betting on March 10, further enhancing the state’s gaming landscape.
Revenue Boost and Tax Contributions:
Beyond the impressive revenue figures, these casinos played a pivotal role in bolstering the state’s financial resources. The combined taxable gaming revenue generated by the trio also translated into substantial tax contributions, with a total of $27.6 million in tax revenue being collected in February.
To provide a breakdown of the tax structure:
Plainridge Park Casino, categorized as a Category 2 slots facility, is taxed on 49 percent of its GGR.
MGM Springfield and Encore Boston Harbor, categorized as Category 1 resort casinos, are taxed on 25 percent of their GGR.
All three casinos now hold licenses as Category 1 Sports Wagering Operators, subject to a 15 percent tax rate on their GSWR.
Cumulatively, since the inception of each of these venues, the Commonwealth of Massachusetts has amassed approximately $1.34 billion in taxes and assessments. This substantial revenue stream contributes significantly to various state initiatives and essential services.
February’s noteworthy achievement underscores the positive impact of the casino and sports betting industry on Massachusetts’ economic landscape. With promising revenue figures and the recent introduction of online sports betting, the state is poised for further growth and financial stability in the coming months. These developments solidify the casinos’ role as major contributors to Massachusetts’ fiscal health while offering an exceptional entertainment experience for residents and visitors alike.