Bill
A 4838
Imposes temporary surcharges in June–July 2026 to fund New Jersey’s 2026 FIFA World Cup preparations, with various taxes on hotels, Meadowlands sales, rides, and online wagering.
Purpose
- Imposes temporary surcharges on specific transactions from June 12, 2026 through July 20, 2026 to fund the preparations for hosting 2026 FIFA World Cup events in New Jersey.
Key Provisions
1) Hotel and Motel Occupancy Surcharge
- Rate: 2.5% surcharge on the rent for occupancy of hotel rooms or transient accommodations.
- Effective window: Occupancies on/after June 12, 2026 and before July 21, 2026.
- Exclusions: No surcharge on occupancies in Atlantic, Monmouth, Ocean counties (counties classified as fifth class) or Cape May County (sixth class) that are already taxed under existing law.
- Collection: Surcharge collected from customers and remitted to the Director of the Division of Taxation by the entity that collects it, by the 20th day of the month for the prior calendar month.
- Supervision: Administered under the Sales and Use Tax Act and the State Uniform Tax Procedure Law.
- Interaction with other taxes/fees: In addition to existing taxes/fees; not subject to other taxes or fees imposed on occupancy.
- Use of funds: Deposited into the General Fund.
- Exemption: Not imposed on purchasers who are entities exempt from occupancy tax.
2) Meadowlands District Surcharges (Three separate surcharges)
Effective window: June 12, 2026 to July 21, 2026.
- (1) Tangible personal property: 3% surcharge on receipts from sales within the Meadowlands district.
- (2) Prepared food, soft drinks, and alcoholic beverages: 3% surcharge on receipts within the Meadowlands district.
- (3) Admissions to places of amusement: 3% surcharge on admission charges within the Meadowlands district.
- Collection and administration: Surcharges collected from customers and remitted to the Director of the Division of Taxation by the 20th day of the month for the prior calendar month; in addition to any other taxes/fees; not subject to other taxes/fees on these sales.
- Use of funds: General Fund.
- Exemption: Not imposed on purchases by entities exempt from the Meadowlands sales tax.
Note: The Meadowlands district is defined as in existing law (per P.L.2015, c.19).
3) Transportation Network Company Rider Surcharge (Meadowlands Focus)
- Amount: $0.50 surcharge on every prearranged ride originating in-state and terminating in the Meadowlands district, or originating in the Meadowlands and terminating elsewhere in the state.
- Effective window: June 12, 2026 to July 21, 2026.
- Collection and reporting: Collected from the rider and paid to the Director of the Division of Taxation by the 20th day of the month following the month of collection; must appear separately on the rider’s electronic receipt.
- Interaction: In addition to other taxes/fees on prearranged rides; not subject to other taxes/fees on these rides.
- Administration: Managed by the Division of Taxation with powers under the Sales and Use Tax Act.
- Use of funds: General Fund.
4) Individual Income Tax Credit (2026)
- Allowance: For taxable year 2026, resident taxpayers may claim a credit against New Jersey Gross Income Tax equal to any of the surcharges they actually paid as customers (not the amounts collected by sellers).
- Priority: Credit application follows director-determined order of priority alongside other credits; credit cannot reduce tax liability below zero.
- Limitation: The credit is for customers who paid the surcharges; those who collected the surcharge (sellers) are not eligible for this credit.
5) Online Sports W wagering Surcharge Linked to FIFA World Cup
- Applicability: Casinos in Atlantic City, joint sports wagering operations, and horse racing permits that receive online sports wagering sums from the 2026 FIFA World Cup events.
- Amount: 10% surcharge on online wagering receipts for the World Cup events, net of winnings actually paid to patrons.
- Distribution: Half to the Casino Revenue Fund (for casinos and joint operations) and half to the General Fund (for horse racing permits).
- Payment deadline: By August 10, 2026.
- Administration: By the Director of the Division of Gaming Enforcement; powers align with Casino Control Act and related laws.
- Definition: “2026 FIFA World Cup Tournament events” includes matches or portions involving the 48 participating teams, including individual athlete statistics.
Effective Date
- The act would take effect immediately upon enactment.
Rationale Highlighted in Bill
- Revenues from the four temporary surcharges are intended to support costs associated with hosting 2026 FIFA World Cup matches in New Jersey, including MetLife Stadium’s role hosting eight matches (including the final).
Sponsor
- Primary sponsor: Assembly member (Co-sponsor) Mike Venezia.
Impact Overview
Note for Readers
- This bill is explicit about temporary nature (summer 2026) and the use of funds for World Cup preparations, with specific administrative and reporting requirements for each surcharge. If enacted, affected industries and residents should plan for a multi-source temporary tax impact during the World Cup hosting window.
Compiled from official sources — confirm details with the bill’s official record.
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