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Registered club tax rates

If your club operates gaming machines, you must pay the gaming machine tax if your gaming machine profits are more than $1 million per year. Clubs that make less than $1 million per year from gaming machines don't pay any tax.

The gaming machine tax is calculated on metered profit, using the data collected on the Centralised Monitoring System (CMS) from each gaming machine in NSW. The Office of State Revenue collects the tax quarterly via direct debit, on day 21 after the end of each tax quarter.

    Clubs quarterly tax rates

    Gaming machine tax is calculated and paid quarterly. If your club makes less than $250,000 in quarterly gaming machine profit, you pay no tax.

    For clubs that make a quarterly profit over $250,000 and up to $450,000, the quarterly tax rate is 28.05%.

    If your club makes more than $450,000 in quarterly profit, the following rates apply:

    • 0% (nil) on the first $250,000
    • 28.05% on the profit over $250,000 up to $450,000
    • 18.05% on the profits over $450,000 up to 1.25m
    • 22.55% on the profit over $1.25m up to $2.5m
    • 24.55% on the profit over $2.5m up to $5m
    • 26.55% on the profit over $5m

    The above annual tax rates over $250,000 include a 0.4% contribution to category 3 of the ClubGrants scheme.

    If your club makes more than $1 million in gaming machine profits annually, you must pay an additional amount of 1.85% of the amount over $1m unless you contribute the same amount to community projects under the ClubGrants scheme.

    Annual adjustment

    After the end of the tax year, which ends on 31 August, you may apply for an annual adjustment. The amount of your quarterly tax payments will be compared with the payable annual amount.

    If your club annually earns a gaming machine profit of:

    • less than $1 million – you pay no tax
    • more than $1 million and up to $1.8 million – the annual tax rate is 29.9% on the amount over $1 million

    If your club's annual gaming machine profit is more than  $1.8 million, the following tax rates apply:

    • 0% (nil) on the first $1m
    • 29.9% on the profit over $1m up to $1.8m
    • 19.9% on the profit over $1.8m up to $5m
    • 24.4% on the profit over $5m up to $10m
    • 26.4% on the profit over $10m up to $20m
    • 28.4% on the profit over $20m

    The above annual tax rates over $1m include a 0.4% contribution to category 3 of the ClubGrants scheme. The rates over $1m are further reduced by 1.85% if your club pays the same amount to community projects under the ClubGRANTS scheme.

    To apply for an annual adjustment, contact:

    Phone: (02) 9995 0837
    Email: annual.adjustments@justice.nsw.gov.au

    Invoices

    Data Monitoring Services (DMS) will send you a tax invoice 14 days after the end of each tax quarter. For any questions about the invoice, contact the DMS Help Desk on 1800 307 551, Monday to Friday, 8.30am to 5.30pm.

    The DMS website also has answers to frequently asked questions.

    Payment

    If you want to arrange direct debit authorisation to pay for gaming machine tax, use this Direct debit request form (PDF, 164KB).  

    Contact the Office of State Revenue, for any questions about paying or collecting tax, and alternate payment arrangements. Call 1300 139 817 or 02 9689 6200 if you are calling from out of state.

    Assessment

    If you have a question about the assessment of your gaming machine tax, call the DMS Help Desk on 1800 307 551, Monday to Friday, 8.30am to 5.30pm.

    Visit the DMS website for useful information to frequently asked questions.

    Reassessment

    If you have any questions or concerns about your invoice and can't come to an agreement with DMS, contact the Gaming Systems Unit:

    Phone: (02) 9995 0837
    Email: annual.adjustments@justice.nsw.gov.au

    Any registered clubs suffering financial hardship can ask for help from the Gaming Machine Tax Deferral Scheme.​​

    ​Related links

     

    Running a club​

    ClubGRANTS