1. Online Gambling Revenue
2. Tax Revenue Gambling Australia Canada

State governments’ budget papers are forecasting increases in their pokies tax revenue in coming years, rising in Victoria from $1.09 billion in the past financial year to $1.16 billion by 2020-21.

In Australia, gambling operators are required by law to donate some of their revenue to the community and charitable purposes. In the state of Victoria, club pokies operators must document their contributions annually. This qualifies them for a reduction in gambling tax.

The Conversation found that clubs donated mostly to themselves in a 2019 article, which states that a number of club categories ‘community benefits’ as their own operating expenses.

1. However, in per capita terms Victoria (over $350 per adult) and South Australia ($300 per adult) collect the most gambling revenue (compared with the Australian average of $260 per adult).
2. However, in per capita terms Victoria (over $350 per adult) and South Australia ($300 per adult) collect the most gambling revenue (compared with the Australian average of $260 per adult).
3. For example, gambling taxes were around 1–2% of national tax revenues in other developed countries during the 1960s, and lotteries were of a similar importance to Australian state governments as in the US in the mid 1980s (Rubner 1966; Clotfelter.

This is permitted under the regulations but is at odds with the claim that clubs provide support to the community. In Victoria, the Victorian Responsible Gambling Foundation estimated the social costs of gambling in the state to be $7 billion in 2017. Gambling losses in the state were $5.5 billion, with state government revenue from gambling at $1.9 billion. The Victorian community benefits scheme is unique in its relative transparency.

Clubs are required by law to spend at least 8.33 per cent of total pokies losses on community contributions. This allows clubs to claim philanthropic, charitable or benevolent contributions, as well as operating expenses. If the target is met, clubs enjoy an 8.33 per cent tax break compared to hotel operators.

Online Gambling Revenue

We're responsible for administering, collecting and managing debts of gaming and wagering tax payable in NSW, on behalf of Liquor and Gaming NSW.

Tax Revenue Gambling Australia Canada

Find out more about COVID-19 (coronavirus) and gaming machine tax.

The taxes applied to gaming and wagering in NSW are based on:

• what kind of gambling is being offered
• who's providing the gambling services.

Gambling tax rates

Legislation

Gambling taxes are regulated under the following legislation.