Tasmania to set new gambling tax

Gambling in Tasmania is facing a new Point of Consumption, Tax which the government will enforce starting next January 1, 2020.

Australia.- The Australian industry is continuously facing changes. However, it seems the latest won’t be as encouraging as many others in the past.

The government of Tasmania announced it will set a new Point of Consumption Tax on gambling. It will enforce the new burden starting next January 1, 2020, and has already sparked controversy.

The new gambling tax in Tasmania will be set at 15% of the net wagering revenue of betting operators. However, it will exclude the face value of free bets provided to punters.

The Responsible Wagering Australia (RWA) was the first to criticise the move. They argue it will harm the racing industry in the country. Hon Nick Minchin AO, RWA chairman, said he is disappointed with the decision. He described the tax as “one of the highest on gambling anywhere in the world”.

“The 15% Point of Consumption Tax introduced in South Australia threw a handbrake on that state’s racing industry and has almost brought it to its knees,” Minchin said. “Prize money has been cut, field sizes have shrunk, participants have fled interstate and jobs have been lost.