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The Sauce: Rumour mill in overdrive at possible tax hikes to cover cashless gaming

NSW clubs are preparing for a showdown with the Minns government amid ongoing talk Treasury officials are looking at forcing some of the largest venues to pay extra tax. Read this and more in The Sauce.

Pokies trial slammed, recommends ‘account’ for players

Clubs across the state are preparing for a showdown with the Minns government amid ongoing talk Treasury officials are looking at forcing some of the largest venues to pay extra tax.

As I revealed in early April, the government had engaged in “preliminary talks” with Clubs NSW about taxation, with sources claiming any hikes were designed to cover the cost of cashless gaming should it be rolled out.

It was posed that while the bigger clubs might be able to fund their own roll-outs, this may not be the case for smaller, community clubs.

The office of Treasurer Daniel Mookhey confirmed at the time that “preliminary talks” with Clubs NSW had occurred, but has not revealed any further details.

Following publication of the story, a Clubs NSW circular was issued confirming that it had been consulted in relation to taxation albeit the conversations had been at a “very high, preliminary” level.

NSW Treasurer Daniel Mookhey. Picture: NewsWire/Nikki Short
NSW Treasurer Daniel Mookhey. Picture: NewsWire/Nikki Short

“At this stage, no proposals have been put forward by either party,” the circular said.

A month on, and the rumour mill is in overdrive at what tax hikes might be in order and on whom with three MPs – independent MP Rod Roberts, Opposition gaming spokesman Kevin Anderson and Nationals leader Dugald Saunders – asking questions of the government about the issue in state parliament this week.

Independent MP Rod Roberts, Opposition gaming spokesman Kevin Anderson and Nationals leader Dugald Saunders. Pi9ctures: Facebook/Jonathan Ng/NewsWire/Nikki Short
Independent MP Rod Roberts, Opposition gaming spokesman Kevin Anderson and Nationals leader Dugald Saunders. Pi9ctures: Facebook/Jonathan Ng/NewsWire/Nikki Short

Meanwhile, individual clubs have been taking matters into their own hands, demanding clarity while warning of the impact a tax hike might have.

A senior club industry source claimed the suggestion a tax hike was designed to cover the cost of cashless gaming and/or harm minimisation was “a ruse”.

The source said industry anger at any moves to increase tax stemmed from the fact that other gaming sectors such as online wagering appeared to have been given immunity from any hikes, despite paying significantly less.

The source claimed the talk was there would be no changes to the 15 per cent Point Of Consumption Tax (POCT) online betting operators have to pay.

“The top tax rate for clubs is more than 28 per cent, while online foreign-owned corporate bookmakers pay just 15 per cent,” the source said.

“Even the Star casino pays less tax than large clubs.

The NSW government’s look at cashless gaming included a trial of a smart card for pokie machines to help gamblers keep track of their spending.
The NSW government’s look at cashless gaming included a trial of a smart card for pokie machines to help gamblers keep track of their spending.

“The cashless gaming policy argument is a ruse. The government is targeting clubs to try and fill the budget black hole created by the failing Star casino and its backdown from increasing the tax rate for foreign-owned online bookmakers. While they send their profits offshore, clubs put theirs into the community, into things like grassroots sports.”

When the former Carr government attempted to increase pokies taxes back in 2003, it led to some of the biggest ever protests across the state, with an estimated 15,000 people marching in opposition.

MUSCLING UP

The Industrial Relations Commission is about to get some new muscle.

The Sauce can reveal the Minns government had enlisted bodybuilding barrister Anthony Howell to the commission

Howell as been the in-house legal counsel for several unions, including the NSW Police Association and the Rail, Tram and Bus Union, the latter of which is embroiled in an ongoing wages dispute with the government.

New Industrial Relations Commissioner Anthony Howell flexing muscle as a former bodybuilder. Picture: Instagram.
New Industrial Relations Commissioner Anthony Howell flexing muscle as a former bodybuilder. Picture: Instagram.

Howell’s CV also spruiks his role as a solicitor with carriage of proceedings on behalf of Unions NSW, the Queensland Council of Trade Unions and various other union entities in the infamous WorkChoices litigation before the High Court of Australia in 2005.

What his CV omits is his side hustle as an amateur bodybuilder – a pursuit he has had some success in.

The Australian Bodybuilding Federation Instagram page shows a photograph of Howell flexing muscle after coming first in a bodybuilding event in 2023.

Howell told The Sauce, while he will keep up the training, the new appointment would mean no time for competitions.

“The disciplined work, eat-sleep-train-repeat lifestyle helps me manage stress, but almost certainly no more competitions after my appointment,” he said.

“I suspect I’ll be way too busy for that.”

Howell is not the only new appointment. Public Service Association legal counsel Alison McRobert is also joining the Commission.

A Legal Aid NSW board member and representative of Unions NSW, McRobert has specialised in employment and industrial law in the NSW public sector for over 20 years.

The Sauce wonders if the new appointments have anything to do with Treasurer Daniel Mookhey wanting to create a new “bullying and harassment” division of the court to rule over workplace disputes before they progress to compensation claims.

SPOTTED

A senior Reserve Bank of Australia official helping scrutineer for Bradfield “teal” candidate Nicolette Boele, who as of Saturday will still lagging behind her Liberal rival Gisele Kapterian in the race for the seat by 202 votes.

Also spotted, a Climate 200 social media co-ordinator filming Boele at the counting centre on Friday. Will it be a concession or victory vid we wonder?

Got some Sauce? Contact linda.silmalis@news.com.au

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Original URL: https://www.dailytelegraph.com.au/news/nsw/the-sauce-rumour-mill-in-overdrive-at-possible-tax-hikes-to-cover-cashless-gaming/news-story/e93cfa401fa1dae8df1dd75abcc997b4