Thoroughbred Breeders Queensland Association President Basil Nolan says he is deeply disappointed by Queensland Treasurer Jackie Trad’s decision not to provide income to the racing industry from the new Point of Consumption tax.
The PoC came into effect on Monday 1 October, with all bets in Queensland being taxed 15%. It’s expected to raise almost $70 million in the first year alone.
“In NSW and Victoria the revenue from this tax is reinvested in the racing industry and that was what Racing Queensland and the TBQA had been lobbying the Queensland Government for – or even a significant proportion of the 15% to be returned to the industry,” Mr Nolan, of Raheen Stud at Goomburra north of Warwick, said.
“Unfortunately, our efforts fell on deaf ears.
“Instead of enabling the racing industry to become self-sufficient and sustainable, the State Government will simply cover a reimbursement for Racing Queensland to the TAB for its racing fees bill and write off RQ’s $17.8 million debt.
“RQ will also receive $20 million grant this financial year to be used on two new racing facilities in harness racing and greyhound tracks.
“That’s a one-off of less than $40 million dollars coming back to the industry which will be making a minimum $70 million per year for the Government.
“A $20 million infrastructure grant for the dogs and trots is not going to assist the thoroughbred industry which is the most important gambling medium for the State.
“What about a financial commitment moving forward? Is the Government simply planning to take this $70 million each year and put it in their coffers? Where is this money going to be distributed?”
Mr Nolan said the tax is “a whole new revenue stream and will be generated solely from the racing industry”.
“It is only common sense that some of this revenue be returned to the industry to ensure that racing is viable and sustainable in Queensland,” he said.
