Queensland racing codes will receive a one-off payment for infrastructure but there will be no extra money for stakes increases under the distribution of the state’s new point of consumption tax.
The tax will come into law on Monday and means all bets on Queensland events will be taxed a 15 per cent.
It is expected to raise up to $70 million in its first year.
The government has ensured it will cover a reimbursement for Racing Queensland to TAB for its racing fees bill and will also write off a debt.
About $20 million will be redirected to infrastructure probably in harness racing and greyhound tracks.
The industry had been hoping for payouts similar to NSW and Victoria which have been used for prize money increases.
In a media release on Saturday afternoon, Queensland Treasurer Jackie Trad said additional revenue would be used to provide significant funding boosts that benefit communities across Queensland.
“Until now, large wagering companies paid tax where their headquarters are located, rather than where bets are placed,” she said.
“Thanks to our changes, the money people bet in Queensland will come back to Queensland and will be reinvested in Queensland communities.”
She said Racing Queensland would receive a $20 million grant this financial year to be used on two new racing facilities, as well as additional financial support to ensure that there’s no negative impact on Queensland’s racing industry.
“As part of this package we will also forgive $17.8 million of debt owed to the Queensland Government by Racing Queensland, putting them in a better financial position to keep growing this important industry,” she said..
Minister Stirling Hinchliffe said a significant portion of the revenue would be directed to the State’s racing industry, including new greyhound and harness racing facilities.
“We have also ensured protection for small bookmakers, meaning on-track local bookies will be largely unaffected,” Mr Hinchliffe said.
