HARRISBURG, Pa. (CBS) – For a second straight year, Pennsylvania ranks first in the nation when it comes to tax revenue generated by casinos.

The American Gaming Association says New Jersey and Nevada are still ahead of Pennsylvania in overall casino revenue, but for the second straight year, Pennsylvania was the number one state in tax revenues from casinos, with $1.3 billion in 2010, $450 million dollars ahead of the number two state, Indiana.

But Gaming Control Board spokesman Doug Harbach acknowledges that one reason Pennsylvania is so far out in front is because of a higher tax rate, “The slot machine tax in Pennsylvania is significantly higher, let’s say, than a neighboring state like New Jersey, where we tax at 55% and New Jersey’s tax is a little over 9%. But the casinos are still doing very well in Pennsylvania.”

In fact, Harbach notes that Pennsylvania casinos have overtaken New Jersey in gross slots revenues but the Garden State still has the overall edge because of more table games action.

Reported by Harrisburg Bureau Chief Tony Romeo, KYW Newsradio 1060

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