RQ cash in the POC-ket
RACING Queensland’s return from the state government will now be tied to performance after brokering a deal which will see 35 per cent of revenue from the Point of Consumption Tax returned to the industry.
The agreement, which rolls together two expiring deals is expected to return around $20m extra a year
which will be spread across extra prize money, infrastructure, breeding schemes and club funding.
Previously, Racing Queensland was simply allocated government money out of general revenue as opposed to performance-based returns from the Point of Consumption Tax which has been more fruitful than first expected.
Figures show Queensland’s Point of Consumption
Tax raked in $118m to state coffers last year while it is projected to reach $150m by 2023-24.
The new model means the amount of money redirected back to the industry is dependent on turnover.
With the TAB not performing as expected after its merger in 2018, it is expected the new funding formula will help to diversify QR’s revenue streams.
“It is a tax on betting on racing that is being returned to racing,” Racing Queensland chief executive Brendan Parnell said.
“It has been great working with Minister Grace and the government to help understand how many jobs we have created.
“This confirms their support of our growth and we want to demonstrate that the more we can build and invest
back into industry, create even more jobs.
“Having the support of the government is crucial. We couldn’t have done it without them.”
The additional money will be alongside the state government’s country racing support package.
Parnell said decisions could be made as soon as this month on how best to spend the extra cash going forward. it will