NJ ‘fantasy’ comes true

Daily-sports taxes, regulations OK’d

New Jersey Gov. Chris Christie on Thursday signed a law that will regulate and tax daily fantasy sports.

The law imposes a 10.5 percent tax on the winnings of companies that offer the games.

Supporters of the measure estimate that daily fantasy sports (DFS) would generate $6.6 million annually in state taxes.

The governor has supported New Jersey’s effort in an attempt to use sports-gambling revenues to boost the fortunes of the state’s casino and horse-racing industries.

The law won praise from fantasy sports operators, who say New Jersey has become the 16th state to enact legislation regulating the games.

“The law establishes multiple layers of oversight, placing New Jersey at the forefront of consumer protection nationally and creating a new source of tax revenue with major potential for growth in the state,” Draft Kings and FanDuel spokesman Marc LaVorgna said in a statement.

The contests allow people to deposit money in accounts, create fantasy rosters of sports teams by se- lecting real players, and then compete against other contestants based on the statistical performances of those players.

The law enables DFS providers to partner with a casino or racetrack. It prohibits the use of high school sports games and players.

Lawmakers drafted the bill to say specifically that the games don’t constitute gambling under New Jersey law; otherwise the games would require a constitutional amendment, said one sponsor, Democratic Assemblyman John Burzichelli.