Legislative Council Fifty-First Parliament, Third Session (51-3) 51 3 Parliament of South Australia Legislative Council published Answers to Questions Racing Industry RACING INDUSTRY The Hon. T.J. STEPHENS Legislative Council RACING INDUSTRY In reply to the Hon. T.J. STEPHENS (25 October 2007). The Hon. P. HOLLOWAY Legislative Council Minister for Mineral Resources Development Minister for Urban Development and Planning Minister for Small Business RACING INDUSTRY The Hon. P. HOLLOWAY (Minister for Mineral Resources Development, Minister for Urban Development and Planning, Minister for Small Business): The Minister for Recreation, Sport and Racing has provided the following information: On 28 November 2007 I announced that the South Australian racing industry would benefit from millions of dollars in racing wagering tax reform measures after adopting recommendations contained in the Bentley Report. The initial phase of the tax reform will see $3.5 million allocated to the racing industry from July 1, 2008. This represents 50 per cent of forecast TAB tax receipts in the first year. It is estimated that total tax receipts payable to the industry will be $8.4 million annually from 2012-13. The additional revenue to be made available per financial year includes: 2008-09: ($3.5m) 2009-10: ($5.0m) 2010-11: ($6.3m) 2011-12: ($7.4m) 2012-13: ($8.4m) 2013-14 onwards: ($8.4m) I am looking forward to seeing the racing industry move forward. SA is the first state in Australia to abolish taxation revenue from racing wagering activity on bookmakers, on-course totalisator, and now TAB operations. In 2007, the Rann Government offered the racing industry wagering tax reform if it could get its house in order. I am pleased to say the necessary steps have been taken towards meeting that challenge. As a result of these tax reform measures, the racing industry will be in a position to boost prize money on offer for racing participants in South Australia and I expect the flow on effects to be substantial. There is no doubt that more prize money leads to a better class of horse and greyhound racing. This in turn creates increased investment activity, which generates a larger amount of funds for the racing industry. The Rann Government wants a healthy and self-sufficient racing industry in South Australia. If the codes continue to work in the right direction, I am confident the benefits will flow in the future.