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South Australian Industry Needs Help

The South Australian racing and breeding industry fears it will be crippled without receiving a fair share of the money being raised by the extreme Point of Consumption wagering tax rate imposed by the South Australian Government.

South Australian Industry Needs Help

The South Australian racing and breeding industry fears it will be crippled without receiving a fair share of the money being raised by the extreme Point of Consumption wagering tax rate imposed by the South Australian Government.

In a spate of announcements across Australia other State Governments have been declaring their support for their local racing and breeding industries with rebates from the new taxes imposed on betting operations.

The South Australian racing industry is the only major jurisdiction without any assurance that any of the budgeted $37 million raised from the controversial Point of Consumption tax in South Australia will be returned to the industry.


South Australia’s POC tax rate is 15%, compared to 10% in NSW and 8% in Victoria. As a result corporate bookmakers are offering less incentives for punters to wager on South Australian racing leading to a downward spiral in industry revenue.

Chris Watson, president of the South Australian Thoroughbred Breeders Association, is concerned that whilst other States are being compensated for the income lost due to the new taxes, the State Government in South Australia is yet to provide the local industry with any assurances of support.

“Our industry is at least $5 million worse off every year as a result of a tax that is raising $37 million. The current Liberal Government seems ambivalent,” Watson said.

“As an industry we can be self-funded with proceeds from a tax that is only possible due to the product we provide.

“The resultant uncertainty has pushed pause on investment throughout our industry and it is costing jobs.”

While other State Governments have openly stated that they do not want to harm the racing industry as a result of the Point of Consumption tax, the South Australian racing and breeding industries are not being offered the same protection.

“Our governing body TRSA have had a proposal with the State Liberal Government for months but it does not appear to be a priority which is incredibly disappointing,” Watson said.

Racing And Sports



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