As New Jersey prepares to host eight 2026 FIFA World Cup matches, including the highly anticipated final at MetLife Stadium, state lawmakers are looking to generate additional funds to cover the significant costs tied to the event. On May 1, 2026, Democratic Representative Michael Venezia introduced Assembly Bill 4838, which seeks to impose a temporary 10% surcharge on online sports betting revenue from all World Cup-related wagers. This would be the first such tax aimed specifically at an international sporting event in the state.

Purpose of the Proposed Surcharge

The bill’s primary goal is to offset the costs associated with New Jersey’s role as a host state for the global soccer tournament. With the tournament set to run from June 11 to July 19, 2026, New Jersey stands to face expenses well beyond the $300 million mark, according to local media reports. The surcharge would apply to all betting markets related to the World Cup, including wagers on individual matches, team performance, and player statistics, among other betting options.

“The revenue collected from the temporary surcharges is intended to support the costs of preparations for the hosting of the matches of this special event that will take place in New Jersey,” the bill’s explanatory note states. If enacted, this measure would direct the additional tax revenue to the state’s Casino Revenue Fund and State General Fund, with a portion specifically earmarked for supporting local infrastructure and tourism-related expenses.

Assembly Bill 4838 includes provisions for a 10% surcharge on the gross revenue earned by New Jersey sportsbooks on all World Cup wagers. This surcharge would be applied in addition to the state’s existing sports betting tax of 19.75%. The bill covers various types of bets, including moneyline, point spread, total points, and prop bets related to the World Cup. The temporary tax would be in effect for the duration of the tournament, from June 11 through July 19, 2026.

According to Venezia, the surcharge would provide a crucial revenue stream to help cover the state’s share of the World Cup-related expenses. MetLife Stadium, located in East Rutherford, New Jersey, will host eight games, including the final match. As a result, New Jersey is expected to incur substantial costs for infrastructure, security, and event-related operations.

Wider Impact and Additional Taxes

As reported by InGame, in addition to the proposed sports betting surcharge, Venezia’s bill also includes taxes on other services likely to see increased demand during the World Cup. The legislation proposes a 2.5% surcharge on hotel room rentals, a 3% surcharge on food and beverages, and a 3% surcharge on admissions to places of amusement, including stadiums and entertainment venues. Furthermore, transportation services providing prearranged rides within the state would be subject to a 50-cent surcharge per ride. These additional surcharges are designed to generate further revenue to support New Jersey’s hosting duties.

While the tax hikes are expected to generate significant revenue, they have also sparked debate. Some lawmakers, such as Rep. Josh Gottheimer, have voiced opposition to the increased taxes, arguing that they could place an undue burden on local residents and businesses. “People in our state are already stretched too thin, and we should not ask them to cover even more costs tied to the FIFA World Cup,” said Gottheimer. Despite this opposition, the bill has garnered support from key figures, including Governor Mikie Sherrill, who has endorsed the idea of using World Cup-related revenue to cover hosting expenses.

The 2026 World Cup is expected to be a major windfall for sportsbooks across the United States. Investment bank Citizens estimated that U.S. sportsbooks could handle approximately $1.8 billion in bets for the tournament. New Jersey, one of the top states for sports betting, could account for a significant share of that total. With projections indicating that New Jersey sportsbooks could take in around $240 million in wagers, the proposed 10% surcharge could generate an additional $2.4 million in tax revenue for the state, assuming a 10% hold.

However, the proposed bill still faces significant hurdles. The New Jersey Assembly and Senate must work quickly to advance the legislation, given the upcoming World Cup. While the measure has received broad support, including from lawmakers in both parties, its passage remains uncertain.