Pokie clubs across Australia benefit the local community by using their gaming profits to fund various programs and initiatives. In return for their community work, Victorian clubs are given an 8.33% tax cut – but, a recent report in the Herald Sun has found that the discount is not being used for its intended purpose.
According to the report, 246 clubs across Victoria claimed $273 million for community purposes in 2014. 77% accounted for administrative costs, such as staff pay, loans, renovations and rent. Just Less than 1% (a total of $3632) was spent on responsible gambling programs – despite clubs bringing in $845 million in gaming revenue. Clubs are also using the tax break to claim for costs that are not meant to be covered by the discount.
For example, two clubs claimed for stolen money – one of which claimed over $60 000 in alcohol. Another club claimed nearly $800 for its staff Christmas party and while yet another club claimed nearly $7000 for its staff bonuses. Moonee Valley Racing Club claimed some of the biggest misappropriations of funds.
This venue declared over $43 million in community benefits to pay for its new website, domain name and several technological devices, including plasma televisions and digital cameras. The benefit was also used to cover travel and accommodation. The community is certainly not pleased about the way in which clubs are claiming the benefit. It is hoped that the government will review the system, but state politicians have yet to weigh in.
“What I think is needed is a revision of these guidelines so it actually reflects what an ordinary member of the community might consider a community benefit, and that’s certainly not money stolen in a robbery,” says Dr Charles Livingstone, a gambling researcher at Monash University.
About the Author
