Nsw Poker Machine Tax
Land Tax 27 Gambling Taxes 30 Racing and Sports Betting Taxes 30 Totalizator 30 Fixed Odds Betting 31 Betting Exchanges 31 Gaming Machine Tax 32 Casino Taxes 34 Lotteries 36 Keno 37 Other Gambling Taxes 37 Motor Vehicle Taxes 38 Motor Vehicle Registration Fee 38 Motor Vehicle Weight/Engine Capacity Tax 38. 2018 poker machine MOU between Clubs NSW and NSW Coalition Hotel pokies losses by LGA in 6 months to December 31, 2018, showing losses of $1.326 billion from 22,651 machines at 1420 hotel venues and a tax rate of 34.37%.
The NSW Government has announced gaming machine tax relief measures as part of its economic stimulus package to help clubs and hotels impacted by COVID-19
Gaming machine tax is paid on the metered profits of gaming machines in clubs and hotels within NSW. The tax is
- based on information collected by the Centralised Monitoring System (CMS).
- administered by Liquor and Gaming NSW
- calculated at varying rates according to the profits generated
- collected by Revenue NSW on behalf of Liquor and Gaming NSW and in accordance with the Gaming Machine Tax Act 2001 No 72.
Paying taxes
If you operate gaming machines, you must pay the gaming machine tax quarterly by direct debit.
- Email your direct debit authority form to Liquor and Gaming.
- Data Monitoring Services (DMS) will send you a tax invoice 14 days after the end of each assessment period.
- We will debit your account on the 21st day after the end of the assessment period, or on the following working day if the 21st day falls on a weekend or public holiday.
- We will send you a reassessment if there is any change to the original tax invoice.
- If you do not pay by the due date you’ll be charged interest, calculated daily, on all outstanding amounts.
If you don’t pay the full amount by the due date, you may face legal proceedings and the suspension or cancellation of your gaming licence.
Invoice enquiries
If you have any questions about your tax invoice or would like to change the way it is sent to you
- contact Data Monitoring Services.
To challenge the calculation or reasons provided
- contact Data Monitoring Services if you disagree with their calculation.
- contact Liquor and Gaming NSW if you disagree with the reasons provided.
Tax payment due dates
The gaming machine tax is charged quarterly.
Due dates for clubs
| Assessment period | Due date | |
|---|---|---|
| 1 | 1 December to 28 February | 21 March |
| 2 | 1 March to 31 May | 21 June |
| 3 | 1 June to 31 August | 21 September |
| 4 | 1 September to 30 November | 21 December |
Due dates for hotels
| Assessment period | Due date | |
|---|---|---|
| 1 | 1 January to 31 March | 21 April |
| 2 | 1 April to 30 June | 21 July |
| 3 | 1 July to 30 September | 21 October |
| 4 | 1 October to 31 December | 21 January |
Paying by instalments
If you need financial support and are approved by Liquor and Gaming NSW, you can pay your gaming machine tax in three equal monthly instalments.
To find out if you are eligible for the tax deferral scheme, send an email to Liquor and Gaming NSW and include your
- licence number
- venue name
- period applicable.
If you’re not eligible for the tax deferral scheme contact us to request a payment arrangement.
Rates
You do not have to pay gaming machine tax if your quarterly profit from gaming machines is
- less than $250,000 and you operate a club
- less than $50,000 and you operate a hotel.
Tax rates for clubs
The rate for profits of more than $250,000 are set out below.
| Quarterly profit from gaming machines | Rate |
|---|---|
| Over $250,000 up to $450,000 | 28.05% |
| Over $450,000 up to $1.25 million | 18.05% |
| Over $1.25 million up to $2.5 million | 22.55% |
| Over $2.5 million up to $5 million | 24.55% |
| Over $5 million | 26.55% |
Clubgrants
Under the Clubgrants scheme
- if your annual tax is over $250,000, it includes a 0.4 per cent contribution
- if your annual profit from gaming machines is more than $1 million, you must pay an additional 1.85 per cent of the amount over $1 million, unless you contribute the same amount to community projects.
Visit Liquor and Gaming NSW to find out more about tax rates for clubs.
Tax rates for hotels
The rate for profits of more than $50,000 are set out below.
| Quarterly profit from gaming machines | Tax rate |
|---|---|
| Over $50,000 up to $250,000 | 33% |
| Over $250,000 up to $1.25 million | 36% |
| Over $1.25 million | 50% |
Visit Liquor and Gaming NSW to find out more about tax rates for hotels.
Tax adjustments
Your quarterly tax payments will be compared with the annual amount payable and you may be eligible for an adjustment based on your annual profit from gaming machines.
Tax adjustments for clubs
After 31 August each year, you can apply to Liquor and Gaming NSW for an annual adjustment.
| Annual profit from gaming machines | Annual tax rate |
|---|---|
| Less than $1 million | You pay no tax |
| Over $1 million and up to $1.8 million | 29.9% on the amount over $1 million |
| Over $1.8 million up to $5 million | 19.9% |
| Over $5 million up to $10 million | 24.4% |
| Over $10 million up to $20 million | 26.4% |
| Over $20 million | 28.4% |
Tax adjustments for hotels
After the end of a financial year, you can apply to Liquor and Gaming NSW for an annual adjustment.
| Annual profit from gaming machines | Annual tax rate |
|---|---|
| Up to $200,000 | 0% (nil) |
| Over $200,000 up to $1 million | 33% |
| over $1 million up to $5 million | 36% |
| Over $5 million | 50% |
Acquiring a gaming machine
Under NSW law, there are several licences and authorisations you must have in place before operating gaming machines.
It is against the law to be in possession of a gaming machine in NSW unless properly authorised, with maximum penalties up to $11,000 and/or 12 months imprisonment.
Members of the public are advised not to purchase gaming machines if found advertised.
To operate gaming machines you need:
- a club liquor licence or a hotel liquor licence
- sufficient Gaming Machine Threshold (GMT) for the number of machines you want to operate in your venue
- a Gaming Machine Entitlement (GME) or a poker machine permit (PMP) for each gaming machine installed at the venue
Once you have the required authorisations and licences you will need to:
- buy a gaming machine from a licensed dealer or seller, or from another hotel or club
- contact Data Monitoring Systems (DMS) to arrange for the CMS equipment to be installed at your venue
- provide direct debit details to Revenue Assurance & Integrity Unit - via assurance.integrity@liquorandgaming.nsw.gov.au
- apply through Quickchange for authorisation to keep and operate the machine
- connect the gaming machine to the Centralised Monitoring System (CMS)
Note:
- Only clubs are permitted to operate multi-terminal gaming machines (MTGMs)
- Only hotels have poker machine permits
- Hotels with more than 10 gaming machines must have a Hotel Gaming Room
Financial arrangements to acquire gaming machines
If you buy gaming machines:
- payment must be in full and made within 90 days of the delivery date
- trade-ins are allowed as part of the purchase price
- payment can be in cash or a combination of cash and trade-in.
You can defer the 90 day payment however you must have a financial agreement approved by the Independent Liquor and Gaming Authority Board (ILGA) already in place.
Your application for approval of a financial arrangement should be in the form of a letter detailing how the proposed arrangements meet the guidelines and clause 9 of the Gaming Machines Regulation 2019. The application must include a copy of the proposed financial arrangement.
Read: Financial Arrangements For The Acquisition of Gaming Machines PDF, 50.74 KB
Nsw Gaming Machine Tax Rates
Authorisation to keep or dispose of a gaming machine
To install a new gaming machine, change your existing gaming machine, or to dispose of a gaming machine in your venue, you must apply for authorisation.
Nsw Poker Machine Tax Collector
Learn more about disposing of a gaming machines.
Fees
Example of how installation fees work:
- authorising one new device counts as one change
- de-authorising a device and replacing it with a new device counts as two changes
- authorising one device and attaching it to a progressive jackpot controller counts as two changes.
Fees are direct debited a month after approval, from the account nominated for payment of your gaming machine tax.
Nsw Poker Machine Tax Software
For ongoing fees visit: