Australia Senator and anti-gambling politician Nick Xenophan has recommended that online gambling operators in the Northern Territory pay higher taxes.
Xenophan claimed that the 13 bookmakers in the territory only paid A$2.5 million in taxes, but oversaw more than A$8.5 billion in bets. The Northern Territory has implemented a low taxation scheme for operators as a way of attracting business to the spot, capping online taxes at 10% of profits with a cap of A$550,000.
"They (operators) must be laughing all the way to their offshore bank accounts," Xenophan said. "The Northern Territory government needs to squeeze more money out of these operators."
There are currently 13 operators in the Northern Territory, including big names such as Luxbet, Sportsbet, Bet365, Centrebet, and Tom Waterhouse.
Northern Territory Chief Minister Adam Giles said that the tax levels have been beneficial for the region, as operators have spun off some vital economic impact for the area. "What we're happy with is the economic multipliers that come through having these businesses in the Territory," Giles said. It's not just about the level of tax that a bookmaker pays, it's also about the staff that is employed there, where they live, where they spend their money, their partners and their families."