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http://www.smh.com.au/sport/horseracing/racings-100m-windfall-after-court-ruling-20120330-1w22x.html
The NSW thoroughbred racing industry is set to reap a $100 million bonanza following a ruling handed down this morning by the High Court.
The High Court, in dismissing an appeal by corporate bookmakers Betfair and Sportsbet, ruled that all wagering operators taking bets on races in this state must pay Racing NSW 1.5 per cent of turnover under the state governments racefield legislation.
For around four years Racing NSW has been collecting 1.5 per cent from on-course and off-course wagering operators. It has accumulated the $100 million mentioned above, but while the matter was being played out in court the money hasn't been injected into the industry.
Racing NSW chief executive Peter V’landys said the decision could result in a further $40 to $50 million a year being collected for the industry after the High Court ruled Sportsbet and Betfair had to pay the racefields fee..
Read more: http://www.smh.com.au/sport/horseracing/racings-100m-windfall-after-court-ruling-20120330-1w22x.html#ixzz1qYiEhSvr
Sportsbet and Betfair both believed paying a percentage of gross profits was the way to go.
The two launched separate legal action some four years ago and it went all the way to the High Court.
Major sporting organisation like the NRL, AFL and Cricket Australia will no doubt be keen to follow the Racing NSW lead. These bodies have agreements in place that allow wagering operators to return a percentage of gross profit.
The NSW thoroughbred racing industry is set to reap a $100 million bonanza following a ruling handed down this morning by the High Court.
The High Court, in dismissing an appeal by corporate bookmakers Betfair and Sportsbet, ruled that all wagering operators taking bets on races in this state must pay Racing NSW 1.5 per cent of turnover under the state governments racefield legislation.
For around four years Racing NSW has been collecting 1.5 per cent from on-course and off-course wagering operators. It has accumulated the $100 million mentioned above, but while the matter was being played out in court the money hasn't been injected into the industry.
Racing NSW chief executive Peter V’landys said the decision could result in a further $40 to $50 million a year being collected for the industry after the High Court ruled Sportsbet and Betfair had to pay the racefields fee..
Read more: http://www.smh.com.au/sport/horseracing/racings-100m-windfall-after-court-ruling-20120330-1w22x.html#ixzz1qYiEhSvr
Sportsbet and Betfair both believed paying a percentage of gross profits was the way to go.
The two launched separate legal action some four years ago and it went all the way to the High Court.
Major sporting organisation like the NRL, AFL and Cricket Australia will no doubt be keen to follow the Racing NSW lead. These bodies have agreements in place that allow wagering operators to return a percentage of gross profit.
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Replies: 78
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will give the government food for thought with their intention to tax bets at source next year
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If it`s only NSW won`t BF just stop offering markets at courses in that State ?
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the other states will follow if they see NSW getting lots of dough
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It was a high court decision, i.e as high as you can go in australia. If other states want to impose fee they can and it will be legal based on this ruling.
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the sooner we get some similar regulation here the better then we can promote a strong on course with lower take out and get the rings back some credibility
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nothings forever, change is imminent. IT WONT BE LONG NOW
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nothings forever, change is imminent. IT WONT BE LONG NOW
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barry, please explain what you think the changes will be and how
you think they might affect those who bet on this exchange. |
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wee eck, the recent budget gave notice of intending to tax bets at source, to commence in 2013, all off-shore bookmakers will be required to pay a tax on bets sourced from the UK, This NSW decision to charge one and half % turnover tax, if applied to UK sourced bets would not be sustainable
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Barry, is your last post one you made this morning or a copy and paste from 2004? Thanks in advance.
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That was for your 10.34 btw....
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barry "sourced bets would not be sustainable" what does that mean or imply?
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gerard, govt. wheels turn very slowly, but get there in the end.
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wee eck, if I placed a bet with an off-shore bookmaker they would be liable to pay a fee.
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In this country bets as such haven`t been taxed for many years,though of course most of us are old enough to remember when they were. British firms have gone offshore to avoid paying GB Corporation Tax and to a lesser extent the Levy. Both of these are based on profits not turnover.
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barry that if true would eat or erode this Exchanges profits hugely I would imagine
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Salmon, exactly but NSW have rejected profits tax in favour of turnover tax, our Govt would take note.
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barry if the NSW resulted in betfair abandoning their operations in Australia
surely the UK government would take note. |
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wee eck losing betfairs contributions to UK coffers is a p*** in the ocean
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gotta leave for lingers will look in tonite.
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barry is a guaranteed half a loaf not better than no loaf at all?
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Its a bitter disappointment for BF and sporting exchanges generally for a fellow member of our ex empire and commonwealth to not UNDERSTAND THAT EXCHANGES ARE NOT BOOKMAKERS BUT A MARGINAL BUSINESS THAT CANNOT PAY 1.5% ON TURNOVER ON A 2-5% RAKE ON TURNOVER .
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Why on earth now is our money going to Australian horse racing when our HBA would of been better recieving it, its just not fair .
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Its hard to see BF getting far with the US goverment or the Australian because deep down both countries are still bittter that they have our red , white and blue in there flags nad betting pioneers arent switching anything extra on in their temperal lobes , present or missing.
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Is the Australin goverment basically saying that had BF customers not played on an exchange about ossie race results we would of gone to thier tracks as such a notion would be a trully foolish one and all it proves is that certain goverments and racing bodies are extremely ring-fenced and greedy.
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Any tax or levey system that renders a business unprofitable by being to high has to be an unfair tax that is based on older buiness practices and unhelpful to new and contempary ones and in fact certain tax regimes i the past have led to our own indusrty being taken apart literally by foreign competition , we all now count this legacy by paying stealth taxes to prop up the missing indusrty taxes.
Do emerging coutries like the tiger economies buinesses pay such taxes? |
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If that is The barrie Dennis then any betfarians at lingfield wave your mobile betfair apps in front of him today and just like Agencore let him know we are still alive and fighting fit.
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Some of you brits are very uneducated on this topic, which is understandable. But it's much less understandable to see comments from people who are clueless.
Firslty, this isn't a tax. The money goes to racing nsw which pumps it back into the racing industry, it has nothing to do with the government. It's a very popular decision among racing circles in Australia. Secondly, this wasn't a court case to decide whether or not betfair should start paying. It was an appeal by betfair and also corporate bookmakers against an original decision made in 2006 which said they had to pay it. The totaliser's in each state pay the turnover fee and betfair/corporates have been paying since 2006 and little to no impact will be felt by punters in australia. You can say what you like about Australian horses, but the fact is the financial state of australian racing (and australia in general  ) craps all over the UK. |
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well said tommyjone, shame that here they have been able to avoid paying the levy here by simply shipping themselves offshore whilst also avoid UK tax....at least this has finally now been changed in the recent budget but it's about time something was done to ensure a fair contribution to British racing from the major benefactors of the industry.
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Wrong tommyjone the British economy is still one of the biggest in the world and far way in front of Australia who cant even beat the burnt out Spain
 1 United States 14,637,661 2 China 5,767,346n2 3 Japan 5,567,898 4 Germany 3,397,562 5 France 2,673,853 6 United Kingdom 2,140,108 7 Brazil 2,080,203 8 Italy 2,044,003 9 India 1,843,382 10 Canada 1,566,030 11 Russia 1,489,936 12 Spain 1,409,946 13 Australia 1,237,363 14 Mexico 1,034,308 15 Korea, South 1,014,482 16 Netherlands 780,668 17 Turkey 735,487 |
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For our size we are probably still the best overall performer mate!
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No response to the racing side of things?
And just on that, we have a third of your people. Although I do believe your figures are in nominal and not PPP, we're produce about 5k more per capita in PPP. Of course GDP isn't the only measure of wealth and current prosperity either, but I disgress. |
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Along with germany and france that is and in fact the celtic countries are by far the best in the world , even Juleus Ceasur wanted so despaeratly to seize and steal the well established iron foundries of the Gauls for the roman empire , who would of thought that Germany, britain and france would one day of ruled so much of the known world!
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Ok well I can see this conversation is at an end
 Point is, the high court ruling will be good for racing in Australia. The UK really needs to sort some stuff out and not rely on the shiek so much. |
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It isnt batfair that is starving our racing industry but the stranglehold that the Big Bookmakers have on them and the use of casino style FOBT machines to give them leverage
to pay less racing levy, betfair being noted as operating under different profit margins doesnt have to pay a levey but pays a contribution anyway but certain goverments overseas reckon we can afford to pay like a bookmaker becasue they are ignorant and selfish and typical of all loud mouthed australins I have had the displeasure of meeting. |
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Is that topic/thread subjective enough for you?
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Betfair can afford to pay it, they've been paying it since 2006 in Australia and so have all the corporate bookmakers. So do the totalisers.
It works fine. |
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We shall have to see about that wont we but thanks for not respecting a buissness that is trying to be fair and throwing it in with all the other companies that can afford it becasue they are unfair and greedy.
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Betfair "a business that is trying to be fair"
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