The NSW Greyhound Breeder’s Owners and Trainers’ Association (NSW GBOTA) this week again called upon the NSW Government to provide NSW greyhound racing participants with a fair go return regarding any racing industry distribution arising from the impending Point of Consumption Tax (POCT) that is to be applied to corporate bookmaker wagering.
The NSW Government confirmed in its June 19, 2018 budget announcement that a 10% tax would be applied to the net revenue earnings of corporate bookmakers as from January 1, 2019. It also confirmed that 20% of the total revenue generated from the tax would be distributed to the three codes of racing.
Unfortunately, and despite ongoing requests from the NSW GBOTA for confirmation, the NSW Government has chosen not to confirm publicly how it intends to split the industry distribution between the codes.
Treasurer Dominic Perrottet, however, when pushed in an interview by Ray Hadley on 2GB on Wednesday, June 20, gave every indication that he and the Coalition Government was predisposed to just 13% of the POCT racing codes’ distribution going to greyhounds.
NSW GBOTA Executive Officer, Brenton Scott said that any portion of POCT being distributed to the industry needed to be applied on a market share basis if the Government was to be taken as fair dinkum with regard to assurances it had provided to the NSW greyhound industry to genuinely support it.
“Any revenue generated by the Government from POCT will be generated on a market share basis. If a portion of that revenue is to then be distributed to the racing codes, then allocating it on the basis of market share is the only fair and rational approach,” said Scott.
“Up to $40m per year is expected to be distributed to the racing codes as a result of POCT and the difference between 13% and our current market share is in excess of $3.5m per year ongoing.”
Scott added that participants would feel completely deserted by the Premier, Treasurer and Liberal and Nationals Members of Parliament if, as flagged in the Hadley interview, percentages applying to the Racing Distribution Agreement Intercode Deed were applied by the Berejiklian-Barilaro Coalition Government to POCT distribution.
“The Intercode has no connection at all to POCT and the NSW Government knows that,” explained Scott.
“The NSW Government has always and consistently stated that the unfair Intercode revenue splits between the racing codes was a commercial arrangement and not of the Liberal Nationals Government’s making.
“But if the Coalition Government adopts the same unfair splits as the basis for POCT revenue distribution to racing, then the Coalition will have taken ownership of these unfair settings.
“From the Premier down, the current NSW Government has committed to giving the greyhound industry a fair go on funding… now is the time for the NSW Government’s actions to mirror its words and for the Government to show good faith.”
“Participants continue to remember and remain hurt by the Government’s incredibly unfair decision in 2015 to only give 10% of taxation harmony revenues to the greyhound racing industry.
“Anything other than a methodology that applies market share to POCT revenue distributions to the three codes will confirm participants’ worst fears regarding the sincerity of the Government’s commitment to the industry’s sustainability including that which applies in regional NSW.”
Enquiries can be directed to the NSW GBOTA Head Office on 02 9649 7166.