Borgata casino hits tax-rebate jackpot

The Borgata Hotel Casino & Spa in Atlantic City N.J., won a tax court victory over the city on Oct. 21, 2013. The Borgata could be due a $48 million refund following a ruling that it was overvalued by 2 1/2 times its actual value in 2009 and 2010. (Akira Suwa / Staff Photographer)

Atlantic City agreed to pay the Borgata Hotel Casino & Spa an $88.25 million tax refund for tax years 2011 through 2013 and to provide an estimated tax credit of $17.85 million for the 2014 tax year, Borgata's parent company, Marina District Development Co., said in a regulatory filing.

Last fall, the New Jersey Tax Court cut $1.38 billion from the assessed value of the Borgata in 2009 and 2010, resulting in an estimated $48 million in refunds.

An appeal by Atlantic City of that ruling was not affected by the settlement agreement announced by Borgata this week. - Harold Brubaker