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Sportsbet Australia reacts with fury to SA government
the press release below to see what the corporates
think about the latest politician money grab.
GOVERNMENT TO DESTROY ONLINE WAGERING AND RACING INDUSTRY
Point of Consumption (POC) tax on wagering will drive
millions of dollars of revenue out of South Australia,
decimate South Australian racing, and encourage corruption
CFO Ben Sleep said the South Australian Government's
decision to introduce a POC tax, without industry
consultation, was a short-sighted money grab which
demonstrated a complete lack of understanding of the
internet. Mr Sleep said the suggestion that online
wagering companies did not pay tax was ill-informed
and that the addition of a POC tax meant companies
such as Sportsbet would be paying three layers of
tax in South Australia. "Sportsbet already pays a
point of consumption tax in the form of GST - $53.4m
in the last year alone - and contributes over $75m
annually to the racing and sporting industries through
product fees," Mr Sleep said. "This short-sighted
money grab makes South Australia the highest online
wagering tax environment in the world with operators
paying 50 cents in every dollar of revenue in taxes.
"The tax applies to every bet placed on every race
around the country so not only will this decision
decimate the SA racing industry - which stands to
lose millions in product fees - it will hurt every
racing code across the country as Sportsbet and other
bookmakers are forced to decrease their investments
in Australian sport and racing."
Sleep said a POC tax could force providers such as
Sportsbet to mitigate the tax by charging South Australians
higher prices, with dire consequences. "Which side
of the border a customer stands on will determine
what odds they are offered, with South Australian
punters to be the biggest losers," Mr Sleep said.
"This will encourage South Australians to bet with
unlicensed and unregulated offshore operators to get
the best odds available. "This will result in millions
of dollars of tax leakage offshore and force South
Australians into an environment without the responsible
gambling safeguards of licensed domestic providers
such as Sportsbet."
It also creates significant sports integrity risks,
as only Australian based licensed bookmakers work
with sporting bodies and law enforcement to stamp
out corruption in Australian sport."
Sleep said instead of slugging licensed operators
more in taxes, the South Australian Government would
be better served incentivising providers to invest
into the local economy. He said many Australian based
licensed bookmakers would seriously consider withdrawing
from South Australia altogether as a result of a POC
tax. "The South Australian Government has effectively
made wagering in South Australia a losing proposition,"
Mr Sleep said. "Instead of raising millions in additional
tax revenue, this decision will drive the industry
and its tax dollars out of South Australia, creating
a net economic loss instead of the sugar hit the State
Government had hoped for."
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I adopt a gambling philosophy similar to that supported
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Alternatively you could use the train of thought popular
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