New York Laws
Title 6 - Taxation and Fees
1351 - Tax on Gaming Revenues; Permissive Supplemental Fee.

(1) in region two, forty-five percent of gross gaming revenue from
slot machines and ten percent of gross gaming revenue from all other
sources.
(2) in region one, thirty-nine percent of gross gaming revenue from
slot machines and ten percent of gross gaming revenue from all other
sources.
(3) in region five, thirty-seven percent of gross gaming revenue from
slot machines and ten percent of gross gaming revenue from all other
sources.
(b) (1) Notwithstanding the rates in paragraph (a) of this
subdivision, a gaming facility may petition the commission to lower the
tax rate applicable to its slot machines to no lower than thirty
percent. In analyzing such request, the commission shall evaluate the
petition using the following criteria:
(i) the ability of the licensee to satisfy the license criterion of
financial stability absent the tax rate reduction;
(ii) a complete examination of all financial projections, as well as
gaming revenues generated for the prior annual period;
(iii) the licensee's intended use of the funds resulting from a tax
adjustment;
(iv) the inability of the operator to remain competitive under the
current tax structure;
(v) positions advanced by other gaming operators in the state in
response to the petition;
(vi) the impact on the competitive landscape;
(vii) other economic factors such as employment and the potential
impact upon other businesses in the region; and
(viii) the public interest to be served by a tax adjustment, including
the impact upon the state in the event the operator is unable to remain
financially viable.
(2) The commission shall report their recommendation solely based on
the criteria listed in subparagraph one of this paragraph to the
director of the division of budget who will make a final approval.
(3) (i) As a condition of the lower slot machine tax rate, such gaming
facility shall provide an initial report to the governor, the speaker of
the assembly, the temporary president of the senate, and the commission
detailing the projected use of funds resulting from such tax adjustment
and a plan that prescribes the manner in which the licensed gaming
facility potentially receiving the reduction in its slot machine tax
rate will rebuild their economic infrastructure through the rehiring of
laid-off employees or the creation of new jobs. Such plan shall also
clearly establish quarterly and annual employment goals of increasing
full-time employees. Such initial report and accompanying plan shall be
due at the time a facility is granted a tax adjustment. Thereafter, an
annual report shall be made to the governor, the speaker of the
assembly, the temporary president of the senate, and the commission
detailing actual use of the funds resulting from such tax adjustment.
Such report shall include, but not be limited to, any impact on
employment levels since receiving the funds, an accounting of the use of
such funds, any other measures implemented to improve the financial
stability of the gaming facility, any relevant information that helped

in the determination of such slot tax rate reduction, and any other
information as deemed necessary by the commission. Such report shall be
due no later than the first day of the fourth quarter after such tax
rate has been granted.
(ii) (A) At the conclusion of each year, a licensed gaming facility
shall provide an affirmation in writing to the commission stating the
employment goal in clause (i) of this subparagraph was either met or not
met as described in the initial report. If the licensed gaming facility
is found to have not adhered to the plan by the commission, then the
applicable slot tax rate shall be adjusted at the discretion of the
commission as follows:
1. If the actual employment number is more than fifty percent less
than the employment goal, then the slot tax rate shall be increased by
ten percentage points.
2. If the actual employment number is more than forty percent less
than the employment goal, then the slot tax rate shall be increased by
eight percentage points.
3. If the actual employment number is more than thirty percent less
than the employment goal, then the slot tax rate shall be increased by
six percentage points.
4. If the actual employment number is more than twenty percent less
than the employment goal, then the slot tax rate shall be increased by
four percentage points.
5. If the actual employment number is more than ten percent less than
the employment goal, then the slot tax rate shall be increased by two
percentage points.
(B) Such finding and the reasoning thereof shall occur no later than
thirty days following submission of the written affirmation.
(iii) A licensed gaming facility may petition the commission to lower
the tax rate applicable to its slot machines to no lower than thirty
percent no more than once annually after the effective date of the
chapter of the laws of two thousand twenty-one which amended this
subdivision. A licensed gaming facility may request a revision to its
plan in its initial report due to unforeseen circumstances.
* NB Effective until April 19, 2026
* 1. For a gaming facility in zone two, there is hereby imposed a tax
on gross gaming revenues. The amount of such tax imposed shall be as
follows; provided, however, should a licensee have agreed within its
application to supplement the tax with a binding supplemental fee
payment exceeding the aforementioned tax rate, such tax and supplemental
fee shall apply for a gaming facility:
(a) in region two, forty-five percent of gross gaming revenue from
slot machines and ten percent of gross gaming revenue from all other
sources.
(b) in region one, thirty-nine percent of gross gaming revenue from
slot machines and ten percent of gross gaming revenue from all other
sources.
(c) in region five, thirty-seven percent of gross gaming revenue from
slot machines and ten percent of gross gaming revenue from all other
sources.
* NB Effective April 19, 2026
1-a. For a gaming facility licensed pursuant to title two-A of this
article, there is hereby imposed a tax on gross gaming revenues with the
rates to be determined by the gaming commission pursuant to a
competitive bidding process as outlined in title two-A of this article;
provided however that the tax rate on gross gaming revenue from slot
machines shall be no less than twenty-five percent and the tax rate on

gross gaming revenue from all other sources shall be no less than ten
percent.
2. Permissible deductions. (a) A gaming facility may deduct from gross
gaming revenue the amount of approved promotional gaming credits issued
to and wagered by patrons of such gaming facility. The amount of
approved promotional credits shall be calculated as follows:
(1) for the period commencing on April first, two thousand eighteen
and ending on March thirty-first, two thousand twenty-one, an aggregate
maximum amount equal to nineteen percent of the base taxable gross
gaming revenue amount during the specified period;
(2) for the period commencing on April first, two thousand twenty-one
and ending on March thirty-first, two thousand twenty-three, a maximum
amount equal to nineteen percent of the base taxable gross gaming
revenue amount for each fiscal year during the specified period; and
(3) for the period commencing on April first, two thousand
twenty-three and thereafter, a maximum amount equal to fifteen percent
of the base taxable gross gaming revenue amount for each fiscal year
during the specified period.
(b) For purposes of paragraph (a) of this subdivision, "base taxable
gross gaming revenue amount" means that portion of gross gaming revenue
not attributable to deductible promotional credit.
(c) Any tax due on promotional credits deducted during the fiscal year
in excess of the allowable deduction shall be paid within thirty days
from the end of the fiscal year.
(d) Only promotional credits that are issued pursuant to a written
plan approved by the commission as designed to increase revenue at the
facility may be eligible for such deduction. The commission, in
conjunction with the director of the budget, may suspend approval of any
plan whenever they jointly determine that the use of the promotional
credits under such plan is not effective in increasing the amount of
revenue earned.