The Western Australian (WA) Government has passed a point of consumption tax measure that will see online and foreign-owned corporate bookmakers contribute around A$94 million over previous estimates.
The reforms streamline wagering taxes in WA, with two existing betting taxes abolished. It brings the state in line with others in Australia who have adopted the same regime.
The tax will apply to operators’ net wagering revenue on bets at a rate of 15 per cent. An exemption threshold of $150,000 per year will ensure that small bookmakers are excluded from the tax.
30 percent of the collections will be allocated to, and secure the future of, the local racing industry.
WA Racing and Gaming Minister, Paul Papalia:
“This reform will benefit the local racing industry by levelling the tax playing field for the WA TAB relative to the online corporate bookmakers.
“The sustainability and strong future of our racing codes in Western Australia remains our key focus.
“I thank the industry for being so engaged in the consultation process, and congratulate them on the overwhelming benefits they have secured with this package.”
WA Treasurer Ben Wyatt:
“This is the right result for the State to have online corporate bookmakers pay their fair share of tax in Western Australia.
“I am also delighted with the outcome for the local racing industry, with the most generous industry package of all States and Territories.
“It is also a significant victory for the thousands of small business owners who work as TAB agents in WA.”