Pokie-operating clubs exploiting ‘egregious loophole’ for tax breaks, Victorian council claims

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Pokie-operating clubs exploiting ‘egregious loophole’ for tax breaks, Victorian council claims
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Mayor alleges clubs are distorting their spending on community benefits and the problem stretches across the country

Hume city council assessed five years’ worth of statements and found clubs often claimed operating costs, such as staff wages and leasing expenses, as community benefits.Hume city council assessed five years’ worth of statements and found clubs often claimed operating costs, such as staff wages and leasing expenses, as community benefits.

The council’s mayor, Joseph Haweil, said all councils across the country should pay close attention to how clubs have spent gambling revenue, givento community initiatives receive a tax break. They must list expenditure in community benefit statements that are published by the regulator.

Sign up for Guardian Australia’s free morning and afternoon email newsletters for your daily news roundup, the state’s gaming minister, Melissa Horne, said the government was “open to considering reforms”. Haweil said he was frustrated that no action had been taken since then. “That is money that could otherwise go to helping to community and seniors, veterans, people living poverty. Instead, it’s being spent on operating costs.

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