Page 1291 - Week 05 - Thursday, 25 June 1992

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MR BERRY: My favourite subject, of course, is pointing out what a mess Mr Humphries made of it. I would advise Mr Humphries to be quiet on the subject. It leads us nowhere when he begins to talk about health, because of the mess he left in the wake of his period of office as Health Minister. Getting back to the hospice, it is an important consideration of government. The decision is one that will be made in the best interests of the community. It will not favour any particular group. It will come down on the side of good decision making.

Goods and Services Tax - Racing Industry

MRS GRASSBY: My question is to the Minister for Sport. The Liberals have announced that they will exempt gambling from the GST. Will this exemption cushion the racing industry from the effects of the GST?

MR BERRY: Thank you, Mrs Grassby, for that very important question about another matter that could have some serious impact on the ACT. In my view, the goods and services tax included as part of the Liberals' "frightpack" will unquestionably have a devastating effect on the racing industry. The goods and services tax encompasses things such as stallion servicing fees, agistment, float fees, veterinary, racing and training charges, and even entry fees to our three racetracks.

Mr Wood: A tax on sex.

MR BERRY: There already is a tax on those sorts of matters. You only have to go out to Fyshwick; they pay tax.

The GST will impose an extra burden on both participants and patrons. It is not a laughing matter. It goes to the guts of the horseracing industry and what the "frightpack" will do to it. What is proposed by the Federal Liberals will do a great deal of damage to one of the most important industries in Australia. It is the fifth largest industry in Australia. The ACT Racecourse Development Fund could not afford a service tax of 15 per cent, putting a further impost on the ACT taxpayer. ACTTAB, having been corporatised by those sitting opposite, will have to decrease - - -

Mr De Domenico: I raise a point of order, Madam Speaker. I suggest that, under standing order 114, what Mr Berry may or may not think about what he calls "frightpack" has nothing to do with ACT administration.

MR BERRY: Of course it has something to do with the racing industry in the ACT. This is silly.

Mr De Domenico: Madam Speaker, can I suggest that until you rule - - -

MADAM SPEAKER: Could I just have a minute's quiet while I reflect, please? The Minister has chosen to answer the question, so he has interpreted it as being within his area of public responsibility. I ask the Minister to continue.

MR BERRY: The current tax incentives for the thoroughbred industry will also be at risk. There is no question about that. These are all integral parts of the racing industry, and a 15 per cent tax will have a devastating side effect on gambling. There is a puzzled look on Mr De Domenico's face. He seems to wonder whether the "frightpack" will impact on racing. Of course it will. You do


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