The government has reduced the tax commission (for sellers) on the sale of gaming machine authorities from 33 per cent to 15 per cent for a 12-month trial period, which commenced on 1 July 2022.
The first tender under the trial had strong results in both the South-East ($374K) and Coastal ($197K) regions. There were no authorities available for sale in the Western region.
The government is preparing to hold the next tender which will open on 21 December 2022.
As part of the trial, the government has published a minimum acceptable price for tendered authorities in each of the three authority regions.
The minimum acceptable prices for the next public tender are:
- South East - $277,101
- Coastal - $153,839
- Western - $40,000.
These prices are based on a weighted average of recent tender results in South East and Coastal regions with the price for the Western region established taking account of historic sales data (due to the lack of recent sales).
The tender process is a competitive one with available authorities awarded to the highest bidders.
The minimum acceptable price operates as a reserve price rather than a guarantee. If the minimum price is not met for any available authorities, they will be retained for the next tender.
If you wish to take up the opportunity to sell some of or all your gaming machine authorities, you will need to make an application to Office of Liquor and Gaming Regulation (OLGR).
Options include:
- decreasing your approved number of gaming machines
- surrendering your gaming machine licence.
The Tender opens on 21 December 2022 so act quickly if you wish to participate. The Tender will close on 11 January 2023.
