South Australia looks at PoC tax for online gaming

The South Australian state government is looking at the possibility of introducing a Point of Consumption tax on online gaming.

Treasurer Tom Koutsantonis said the government had no “preferred option” for reform at this point but was open to discussion, according to ABC News.

A shift from “place of supply” to “place of consumption” would mirror the UK government’s move late last year.

South Australia’s discussion paper, which looked at a number of ways to overhaul the state’s tax system, also proposed a land tax in place of stamp duty, with the report suggesting that about 75 clubs in the region could face an Aus$8 million (€5.4 million/US$6.1 million) tax increase on gaming machines under the reforms.

Clubs SA chief executive Mike Penfold said that clubs would struggle to stay afloat with any additional taxes on gaming machines.

“Obviously, if the tax goes up, we have less money for our clubs and the clubs can’t distribute that money to its members and to the community itself,” he said.

source : www.igamingbusiness.com

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