Treasurer Jim Chalmers has signalled a government clampdown on betting companies’ use of tax breaks to develop new poker machines and gaming apps, saying he considers the practice “problematic”.Asked at a press conference on Monday whether subsidising poker machine developments through the incentive was an appropriate use of taxpayer money, Chalmers said: “I have a personal view about that, which is that it’s problematic.
ASX-listed Tabcorp had an R&D budget of nearly $40 million, while poker machine giant Aristocrat’s was $22 million, slot maker Ainsworth Game Technology’s was $15 million and bookmaker PointsBet was $10 million. “However, they do help encourage investment in R&D jobs, skills and services in Australia rather than overseas, which is what the policy is designed to do.”
“The program was established by the Gillard government in 2011 with the purpose of encouraging Australian businesses to invest R&D dollars locally, to create jobs and an R&D skills base, rather than investing offshore. The gaming manufacturing sector has done just that.”Patel also said the association and its members were working with all governments and regulators on harm-minimisation initiatives.
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