Updated October 2026
New Jersey Banned

Are Sweepstakes Casinos Legal in New Jersey? (2025 Ban)

MB
Marcus Bennett
Compliance & News Editor, US
Updated: September 2026
6 min read

New Jersey has banned online sweepstakes casinos. A5447 became law as P.L.2025, c.128 on August 15, 2025 and took effect immediately. New Jersey has had legal real-money online casinos since 2013, regulated by the Division of Gaming Enforcement, so licensed sites are the legal way to play online. This guide covers what the law says, what it means for players, and the legal alternatives for New Jersey residents.

Sweepstakes casinos are banned in New Jersey. A5447, signed on August 15, 2025 as P.L.2025, c.128, took effect immediately and prohibits online sweepstakes casinos built on the dual-currency model. Violations carry civil penalties of up to $100,000 for a first violation and up to $250,000 for repeat violations.

New Jersey has regulated real-money online casinos since 2013 under the Division of Gaming Enforcement, so residents who want to play online have a licensed, legal option.

For specific legal questions about gambling or sweepstakes in New Jersey, consult the Office of the Attorney General (https://www.njoag.gov/) or a licensed attorney. SpinVerdict does not provide legal advice.

Minimum age requirements

Age limits for sweepstakes play are moot while the ban is in force. Licensed real-money online casinos in New Jersey require players to be 21 or older. Across the US, most major sweepstakes brands now require 21+, and a few smaller sites accept 18+.

No. The major sweepstakes brands no longer accept New Jersey players. If a site still lets you sign up from a New Jersey address, it is operating against state law; avoid it.

Licensed real-money online casinos, regulated by the Division of Gaming Enforcement, are the legal way to play online in New Jersey.

Taxes on sweepstakes winnings in New Jersey

Sweepstakes prize winnings are taxable as "other income" under US federal law (IRS Publication 525). Operators typically issue Form 1099-MISC if your cumulative redemptions from that operator hit $2,000 or more in a calendar year (the threshold was $600 for payments made before 2026). You're responsible for reporting prize income on your federal return regardless of whether a 1099 is issued.

New Jersey imposes state income tax on top of federal. Your sweepstakes prize income is typically treated as ordinary income at the state level. Consult a tax professional for your specific situation.

Responsible play resources in New Jersey

The federal 1-800-GAMBLER 24/7 helpline (operated by the National Council on Problem Gambling) is available to anyone in the US, including New Jersey residents. State-specific helpline for New Jersey: 1-800-GAMBLER (NJ flagship).

Self-exclusion in the sweepstakes model is per-operator, there is no nationwide equivalent of the UK's GamStop. NCPG maintains a state-by-state directory of state-level self-exclusion programs and resources at ncpgambling.org/programs-resources/state-resources.

If you or someone you know is struggling with gambling, call 1-800-GAMBLER. Support is free, confidential, and available 24/7.

New Jersey sweepstakes FAQ

Q: Are sweepstakes casinos legal in New Jersey? A: No. New Jersey banned them under A5447 (P.L.2025, c.128), which took effect on August 15, 2025.

Q: Can I still sign up or redeem Sweeps Coins in New Jersey? A: No. The major operators no longer accept New Jersey players, and any site still doing so is operating outside state law.

Q: What are the penalties under the New Jersey ban? A: Civil penalties of up to $100,000 for a first violation and up to $250,000 for repeat violations.

Q: What can I play legally in New Jersey? A: Licensed real-money online casinos regulated by the Division of Gaming Enforcement, open to players 21 and older who are physically in the state, plus Atlantic City's land-based casinos.

Q: Do I owe taxes on sweepstakes winnings in New Jersey? A: Federal income tax applies in all cases. New Jersey also imposes state income tax on sweepstakes income.

MB

Marcus Bennett

Compliance & News Editor, US

Marcus covers US sweepstakes law and runs SpinVerdict's US news desk. He tracks state-by-state availability, sweepstakes promotional law, and regulator actions, and owns the editorial line on responsible play, including 1-800-GAMBLER and the NCPG. Every news item is sourced to a primary document.

8 Years in iGaming