Australian New Digital Betting Taxes Set to Fold Profits of Online Bookies
New digital betting taxes in Australia could see online bookmakers’ profits fold, The “point-of-consumption” taxes are scheduled to begin in Western Australia, Victoria, NSW and the Capital Territory this week and is, for the first time, taxing all gambling losses with digital activities where a wager is placed instead of where the license is held by each bookmaker.
The new taxes have already been enforced across Queensland and South Australia with TAB operator Tabcorp is in fully support of the new tax but have raised concern over largely owned operators such as Bet365 and Ladbrokes not contributing their part. The new tax rates were necessary to level the industry field with most Australian operators holding a license in a lower-tax territory to avoid paying the higher rate.
A Spokesperson for Tabcorp released a statement this week saying, “Tabcorp has supported the introduction of point-of-consumption taxes and has worked with governments and the racing industry to ensure that the significant fees and taxes we already pay under our state licences are recognized. The introduction and commencement of point-of-consumption tax regimes will help ensure a well-regulated and sustainable wagering sector.”