The NSW Treasury is calling for feedback on a Consultation Paper to inform a Review into the Point of Consumption tax (PoC).
Treasury said a PoC tax was introduced last year, under which all Australian based wagering operators paid a tax of 10 per cent of revenue generated from all wagering and betting activity of NSW residents.
“The tax was implemented to ensure that all wagers placed by people in NSW would be taxable, regardless of where the wagering operator is located,” the Treasury said.
“This closed a loophole in NSW wagering tax laws where, under the pre-existing tax system, tax was only levied on betting at the point of sale with the NSW totalisator licensee (TAB Limited) and therefore did not capture most online wagering,” it said.
“At the time of implementation, the NSW Government announced that NSW Treasury will undertake a review of all aspects of the PoC tax after 18 months of operation.”
NSW Treasury said the Review would take account of the PoC tax rate and threshold; existing wagering tax arrangements; racing industry funding arrangements implemented at the time of the tax’s introduction; impacts on the wagering and racing industries; and any other policy or administrative issues associated with the tax.
Treasury said it would report on the outcomes of the Review by July of this year.
Treasury’s 15-page Consultation Paper, including information on how to have a say, can be accessed at this PS News link.
