NSW casinos would pay more tax on poker machine and table-game earnings from July next year under a plan touted to raise over $350 million in three years.
Treasurer Matt Kean said the reforms would help support the state’s fiscal sustainability and assist in funding vital services following the COVID-19 pandemic, bushfires and floods.
The government forecasts the changes will raise $364 million over the next three years.
“It’s important that casinos pay their fair share of tax. These reformed tax rates will replace the existing regime under which casinos pay less tax on poker machines than hotels and clubs,” Mr Kean said in a statement on Saturday.
“These changes will ensure that the casinos continue to make an appropriate contribution to the community and support the delivery of vital Government services.”
The updated poker machine rate would bring NSW into line with Victoria, following recent reforms to casino taxation arrangements announced in this year’s Victorian Budget, he said.
The government is expected to propose a tiered taxation system mirroring the Victorian regime, with a top tax rate on casino poker machines of 60.67 per cent.
Mr Kean said casinos provide employment and entertainment for thousands of people across the State and these changes will support the venues’ “ongoing contribution to the NSW economy”.
The reforms, which come amid upheaval in the state’s gaming sector, will apply to both The Star Sydney and Crown Resorts’ Sydney casino at Barangaroo, which opened this year after more than two years of regulatory troubles.
In October, the NSW casino regulator suspended Star’s Sydney casino licence and fined its owner Star Entertainment $100 million after an inquiry revealed a litany of compliance failures.
Earlier this month, ASIC launched court action against 11 current and former Star directors and slot thailand pulsa executives over alleged legal breaches related to money laundering.