Poker machine profits soar in Coffs Harbour as C.ex Club rises in rankings

Fresh figures show LGA’s poker machines on track to smash last year’s net profits while clubs save big on tax bill

More than $30 million was put through Coffs Harbour pubs and clubs in six months.​

Poker machine players on the Coffs Coast have already lost $6.2 million more than they did at the same time in the last financial year according to new data released by the State Government.

Figures released by the Office of Liquor and Gaming show pubs and clubs in the Coffs Harbour Local Government Area made more than $33 million in net profit from pokies in the six months up until the end of 2020.

Net profit is the combined profit from gaming machines for all venues within an LGA and is the closest indicator of how much money the community has lost.

While the hotel industry’s combined net profit was 35 per cent less than clubs, they paid more tax.

Hotels made $13,030,220 and paid $4,242,953 in tax to the state government and clubs paid $3,885,750 tax while making a combined net profit of $20,324,039.

Under NSW taxation arrangements, a hotel earning from $450,000 up to $1.25 million from pokies pay a 36 per cent rate, whereas clubs would pay 18.05 per cent tax. When profits rise to more than $1.25 million, hotels are hit with a 50 per cent tax bill, while clubs could pay a little as 22.55 per cent.

No tax is paid for clubs with profits under $250,000 and hotels under $50,000.

Coffs Harbour’s C.ex Club moved up several spots in the state rankings which compare gaming machine profits and now sits at number 46 in the state.

It is the second most profitable club between Hawks Nest and the Queensland border, behind only Twin Towns Services Club in the Tweed Shire.

Twin Towns’ 586 gaming machines is more than double C.ex’s 248.

The trend towards higher net profits was common across the state, with hotels increasing their takings by 10.9 per cent and clubs 7.29 per cent, despite the overall number of pokies falling by more than 2300.