Australia’s SkyCity ordered to pay €7.9 million in unpaid casino duty

Jenny Ortiz February 23, 2024

Share it :

Australia’s SkyCity ordered to pay €7.9 million in unpaid casino duty

The South Australian Court of Appeal has issued a ruling demanding that SkyCity Entertainment Group pay an additional AU$13 million (€7.9million) in casino duty.

The decision marks the end of a long-standing dispute between the company and the treasurer of South Australia and was disclosed through SkyCity’s filing on the Australian Securities Exchange (ASX) on Thursday.

The issue on unpaid casino duty started from the differing interpretations of a 1999 agreement on the tax covering loyalty points used and earned on gaming machines.

The court sided with the treasurer saying that credits on gaming machines from loyalty points must be included in gaming revenue when calculating casino duty.

According to SkyCity’s ASX filing, the A$13 million will cover the treatment of loyalty points between January 2014 and January 2024.

Meanwhile, the court sided with SkyCity’s position that an interest penalty should not be enforced.

However, this would be decided by a single judge of the Supreme Court at a later date.

If the Supreme Court ruled in favour of the Treasurer on enforcing penalty interest payments, SkyCity may need to pay A$20 million (€12.13 million) in penalty interest.

SkyCity faces compliance issues

Aside from the unpaid casino dues, SkyCity is facing issues around money laundering breaches in Australia and New Zealand.

The company also remained under investigation on its Adelaide casino licence as well as its Auckland branch.

SiGMA Eurasia and SiGMA Africa – less than a month away

With less than a month until the highly anticipated SiGMA Africa event kicks off in Cape Town, South Africa on the 11th of March, the gaming industry is abuzz with excitement. Building on the success of its inaugural edition in Nairobi, Kenya, in January 2023, SiGMA Africa is strategically positioning itself at the forefront of Africa’s burgeoning gaming landscape. With the continent’s market poised for exponential growth, driven by a rapidly evolving digital ecosystem and increasing mobile connectivity, SiGMA Group recognizes the need to foster collaboration and innovation within the industry. By bringing together leading stakeholders and visionaries in gaming, SiGMA aims to catalyse progress and propel Africa towards a new era of prosperity and opportunity. As the countdown to the event begins, anticipation mounts for what promises to be a landmark gathering of gaming enthusiasts and innovators in the vibrant city of Cape Town.

The fourth edition of?SiGMA Eurasia?will once again be held at the InterContinental Dubai Festival City. Held between the 25 and 27 February 2024, the summit provides invaluable opportunities for attendees to network with industry professionals, gain exposure to the latest tech and innovations in the sector, meet key decision makers, and gain insight into new markets.?