BUSINESS

Pokies receive tax boost; Legislation showered with scorn

TAGs: Australia, pokies

Pokies tax breakPlans for tax cuts on clubs gaining significantly from gaming machines will be music to the ears of establishments in one part of Australia. Clubs NSW signed a Memorandum of Understanding (MoU) last October with the state’s O’Farrell run government.

The plans will give clubs in New South Wales a tax break purely on gaming activities, the amount depending on how much they make. For those clubs making between $1m-5m there will be a tax break of 1.1%. Earning between $5m and $10m will see a cut of 1.6%. Whereas earning more than $20m will means a tax break of 2.51%.

The news comes only weeks after the Independent MP Andrew Wilkie unveiled plans for mandatory pre-commitment technology to be rolled out by 2014. That would limit how much individuals can spend on pokies machines and give the industry reason for concern.

As we have reiterated before Wilkie could learn from the words of Dr. Patrick Basham. Basham is quoted as saying people who, “remain active in the community and constantly engage in social activity, often, largely or exclusively through gambling, live happier and healthier lives.” Nothing like a nation with a low morale eh Mr Wilkie!

This news comes as yet another group of clubs have come out to express their worry that the pokies legislation will see the end for many in their region. Executives from 31 licensed clubs in the federal electorate of Richmond gave a briefing to the National Party’s federal leadership. During the briefing it was explained that clubs would have to cut services, downsize community donations and there would be a significant loss of jobs. There’s that community spirit again Mr Wilkie.

Comments

views and opinions expressed are those of the author and do not necessarily reflect those of CalvinAyre.com