Fairfield Mayor Proposes “Super Tax” on High-Earning Clubs to Support Community

Mayor of Fairfield Advocates for Community-Focused “Super Tax” on Slot Machine Revenue

In a bold move to channel funds into community development, Fairfield City Mayor Frank Carbone has introduced a proposal for a “super tax” targeting clubs that garner substantial profits from slot machines. This initiative seeks to impose an additional 10% levy on clubs in New South Wales (NSW) that record gaming profits exceeding AU$20 million annually.

The proposed tax increase is designed to reinvest in the community, particularly to rejuvenate nightlife without reliance on gambling and to enhance local sports facilities. The urgency for such measures is underscored by the fact that three local government areas — Canterbury-Bankstown, Fairfield, and Cumberland — have witnessed a significant share of Sydney’s poker machine losses in the first half of 2023.

This proposal has garnered support from local government figures, including Cumberland Councillor Steve Christou and Liverpool Mayor Ned Mannoun. Currently, clubs face a maximum gaming tax rate of 26.55% on quarterly profits over AU$5m. However, ClubsNSW has countered by highlighting the AU$1.4 billion already contributed in state and federal taxes by clubs.

The timing of Mayor Carbone’s proposal is critical as the NSW government undertakes a review of the ClubGRANTS scheme. This review follows revelations that substantial grants are being reinvested into club operations rather than serving the wider community. Local Government NSW has expressed support for the resolution advocating for the administration and delivery of such schemes at the local level, aligning with the mayor’s vision.

By proposing a “super tax,” Mayor Carbone is positioning Fairfield City as a leader in responsible fiscal strategy, aiming to balance the economic benefits of gaming with the need for robust community development and welfare.