Page 3523 - Week 12 - Thursday, 20 September 1990

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Before leaving the tax rates, Mr Speaker, I must stress the benefits of the new scale to the smaller clubs. Based on the 1989-90 turnover, of the 67 licensed clubs in the ACT, 35 will pay less under the new scale. Let me stress that figure.

Mr Wood: Goodness me! I got attacked yesterday. You attacked me yesterday on a different matter because I was discriminating between different groups. Goodness me, Mr Duby! That was yesterday, was it?

MR SPEAKER: Order! Mr Duby, would you resume your seat? Mr Wood, do you seek leave of the Assembly to make a statement?

Mr Wood: I have made it, thank you; but next time I will.

MR SPEAKER: Well, please do so. Mr Duby, please carry on.

MR DUBY: I thank Mr Wood for his illuminating comments. As I said, based on 1989-90 turnover, of the 67 licensed clubs in the ACT, 35 will pay less under this new scale. Let me stress that figure; more than half the clubs will be paying less. The biggest clubs, those that have the greatest capacity to pay, will pay the bulk of the increase. Gaming machine taxes in the ACT will be even more progressive, not regressive. The previous position, under which the big clubs paid less relatively than the small clubs, will no longer apply.

I turn now to the introduction of gaming machines that will accept $1 and $2 coins. I am pleased to note that the Licensed Clubs Association has welcomed this component of the Bill. My colleague the Attorney-General has asked me to indicate that he is considering the rate of return for $1 and $2 coins. Let me explain this. Under the Gaming Machine Act as it now stands, the Gaming and Liquor Authority has determined that each gaming machine must return to the player 87 per cent of the money put through the machine. The legislation permits the authority to vary that rate of return between 80 and 90 per cent. On the other hand, New South Wales allows individual clubs the right to set any rate of return above 85 per cent and as a result many New South Wales clubs have set high rates of return for larger denomination machines - up to 97 per cent, in fact. This matter was raised by the Leader of the Opposition.

No doubt clubs do this to encourage club members to use those machines. In other words, they do it to encourage patrons to spend more. While the Government is prepared to consider a higher rate of return on $1 and $2 machines, this is a decision that needs to be taken very carefully. Let me add that it will be taken only after consultation with the Licensed Clubs Association and with the industry as a whole.


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