Pokie tax ‘gift’ for Federal

David Killick | Mercury | 23 November 2021  

THE unexplained difference between the tax rates proposed for gambling in pubs, clubs and casinos could benefit Federal Group by nearly $250m over the next 20 years, the Legislative Council has heard.

Debate on the government’s gambling industry reform legislation is entering its final stages in the Upper House. It adjourned on Monday without a final vote. This is parliament’s last sitting week for the year.

Independent members Meg Webb, Rob Valentine, Mike Gaffney, Ruth Forrest, Tanya Rattray and Rosemary Armitage on Monday spoke and voted in favour of a series of amendments on tax rates and the community support levy included in the bill. Most of the votes were tied 7-7 when Labor members — with the exception of Bastian Seidel — backed the Liberals. Tied motions fail under the standing orders.

Ms Webb, the independent MP for Nelson, attempted to compel the House of Assembly to apply the same tax rates for every gambling venue.

All poker machines are taxed at 25.88 per cent, but under the new legislation, casinos will pay 10.91 per cent, clubs 32.91 per cent and hotels 33.91 per cent. Keno is taxed at 5.88 per cent, but under the new arrangements, Keno in casinos will be taxed at 0.91 per cent and outside of casinos at 20.31 per cent.

Premier Peter Gutwein told Federal Group of the changes before the state election, making them public after the Liberals were returned to office.

Ms Webb described the tax differences as a massive gift to one operator at the community’s expense.

“If we chose to tax casino poker machines at the rate proposed for hotels … over the licence period we would be collecting for our state an additional $248m,” she said.

Leader of government business Leonie Hiscutt said the tax rates had been modelled on the tax rates applicable to casino operators in northern Queensland. Debate on the bill will continue on Tuesday.

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