![The ACT government has increased their point of consumption tax to 25 per cent - but has yet to give a single cent to the racing industry. Picture by Sitthixay Ditthavong The ACT government has increased their point of consumption tax to 25 per cent - but has yet to give a single cent to the racing industry. Picture by Sitthixay Ditthavong](/images/transform/v1/crop/frm/reqbnGrLXyZFax2TwSi3Na/1464be4c-2289-4edf-b79c-9e8da9f294c5.jpg/r0_0_5200_2924_w1200_h678_fmax.jpg)
The Canberra racing industry will continue to get nothing from the ACT government's point-of-consumption tax, despite an extra $10 million in revenue expected next year.
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Canberra will have the highest PoC tax in Australia after the government lifted the rate from 20 to 25 per cent in the budget released on Tuesday.
Anywhere else in Australia, that would spell good news for the racing industry - except in the ACT.
Interstate the tax was seen as a way to fund the racing industry, with Canberra Racing's counterparts getting anywhere from 30-80 per cent of revenue raised through the PoC tax.
But not in the ACT where the government keeps every single cent.
Canberra Racing can only look longingly at the rivers of gold flooding through the coffers of Racing NSW across the border.
Racing NSW chief executive Peter V'landys has been able to fund mega-rich races like the $20 million Everest off the back of the money coming in from the PoC - or as the ACT government calls it, the betting operations tax.
The government received $22.3 million in the past financial year from the PoC, but by bumping up the percentage from 20 to 25 they predicted that would climb to $32 million in the next 12 months.
That's a $10 million jump.
It's predicted to climb to $39.3 million by 2026/27 - with a total of $165.2 million raised across the five-year cycle.
It's unclear whether bookmakers would take the hit from the increased tax or pass it on to punters.
The likely outcome would be the latter, effectively meaning lower odds for Canberrans.
Canberra Racing has been under attack from the ACT Greens, who want to shut the industry down.
Having already had greyhound racing banned in the ACT, they now want to suffocate thoroughbred racing by getting rid of its funding - despite it helping fill the government's coffers.
The Greens tried to block the government's memorandum of understanding with Canberra Racing, which was worth $40 million over five years - well short of what the government receives from the PoC.
If the government was to link Canberra Racing's funding to the PoC, it would remove the sport's reliance on government support.
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The government said it had made the increase to help fund "essential services" like rubbish collection.
"The revenue from the betting operations tax, which will be around $40 million a year after this increase, will allow the ACT government to fund priorities such as essential services for our city, such as roads, libraries, parks and gardens, rubbish collection, schools, hospitals and community health, policing, emergency services and the justice system, disability and community services, and environmental regulation," a government spokesperson said.
"The ACT government funds the Canberra Racing Club and Canberra Harness Racing Club directly from the budget and the industry's funding is secured, through a memorandum of understanding.
"As a result, revenue from the betting operations tax is not linked to industry funding."
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