Page 3235 - Week 11 - Thursday, 13 September 1990

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Licensed Clubs

MR JENSEN: Mr Speaker, my question is directed to Mr Collaery in his capacity as Minister responsible for the operation of licensed clubs in the ACT. Minister, are you aware of a press release recently released by the Licensed Clubs Association alleging lack of consultation by the Government with the Licensed Clubs Association in relation to the new tax scales that were announced in the budget on Tuesday?

MR COLLAERY: I thank Mr Jensen for the timely question. Yes, indeed, a two-and-a-half page purported media statement was issued, I understand, today by Mr Frank Boyle, apparently on behalf - I say "apparently on behalf" - of the Licensed Clubs Association. That statement claims a lack of consultation relating to matters that were discussed at length here with me and with the Licensed Clubs Association.

The statement also makes some complaints about an increase in the tax scale for licensed clubs. As the Chief Minister pointed out today at lunchtime, the tax scales have been spread so that there is a more equitable impact on the smaller and medium sized clubs which, of course, would be a goal that one would think any licensed clubs association representing the interests of all clubs would welcome.

Certainly, Mr Speaker, it is disappointing to secure this response from Mr Boyle. We say, quite emphatically, that there has been consultation over a long period and we have been unable to secure a formula from the clubs. In fact, Mr Boyle said:

The budget papers make no comment on the LCA proposals for an ACT wide link jackpot system for gaming machines, which would provide a substantial lift in revenue ...

The fact of the matter is that that issue was put to us in May in discussions on the fifth floor with the Licensed Clubs Association. Its members were asked by me and by my department for a detailed submission and no submission was received.

The other arguments are simply unsubstantiated. Where there is a club, a typical medium sized club, with a revenue of around $850,000, and it is now paying $135,000 on the current tax scale, it will pay $167,000 under the new scale. This is only a minimal increase of 3.75 per cent on the gross revenue. I believe that some of the clubs, due to the tax scale, have had it reasonably easy for a long time. Our rates are approximately half what I understand from media reports are those proposed in Queensland, and I doubt that our club industry would want


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