As parliamentary debate begins on the Albanese Government’s gambling bills, Independent Member for Kooyong, Dr Monique Ryan, will move amendments to require greater transparency about Australian sporting codes’ income from their financial relationships with betting companies.
Says Dr Ryan: “Australia’s most popular sporting organisations are making tens of millions in tax-free income every year from their relationships with a predatory industry whose business model depends on profiting from their supporter base.”
Australia's two largest sporting codes, the AFL and NRL, receive an estimated $80 million each year in tax-free income from the gambling industry. These prominent and profitable groups remain exempt from income tax because sporting organisations are classified as not-for-profit entities under Australian tax law.
Dr Ryan: “Sporting organisations receive tax concessions on the basis they exist to promote participation in sport and deliver a public benefit to the Australian community. That’s fair enough, but many of these institutions now generate enormous income from an industry that harms more than three million Australians every year.
“The income tax exemption was designed in 1952 for volunteer-run suburban sporting clubs. It was never meant to support a billion-dollar professional competition that places a betting company's logo on every page of its app. If the codes choose to continue to benefit from their financial ties with the gambling industry, we should consider whether it’s time for them to start paying tax on that income.”
The AFL has a sponsorship deal with Sportsbet reportedly worth $100 million over seven years. At the same time, it receives an undisclosed cut on every bet placed on games, while AFL clubs are making millions from pokies revenue.
“If a sporting organisation chooses to profit from gambling, those profits shouldn’t be subsidised by taxpayers,” says Dr Ryan. “It's time for the AFL to make a choice: walk away from gambling sponsorship or pay tax on its gambling income.”
This week, Dr Ryan will move amendments to the Interactive Gambling Amendment (Gambling Reform) Bill 2026, seeking greater transparency into the gambling-related income earned by major sporting codes. These amendments will call for the AFL, NRL and their clubs - as well as the Victorian Racing Club, and other not-for-profit sporting organisations with annual turnover above $50 million - to publicly disclose all gambling-related revenue.
Dr Ryan: “These changes will not remove any tax concessions. What they will do is make sure that Australia's largest income tax-exempt sporting organisations are subject to public accountability and reporting standards.”
“Just two months ago, the government accepted the principle that public money should not support gambling-related activities, when we debated tax incentives associated with gambling research and development. If that was the view of the government in June, then it should be applied consistently today. We can’t keep giving wealthy sporting organisations tax concessions on gambling income while claiming to be serious about reducing gambling harm.”
Snapshot: the AFL’s gambling revenue
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In 2023, the AFL recorded operating revenues of $1.06 billion, an underlying operating profit of $27.7 million and total assets of $725 million, while paying no income tax.
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It’s estimated the AFL receives as much as $40 million annually from betting agencies, and the NRL over $50 million.
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The AFL, NRL, VRC and other Australian sporting codes enjoy not-for-profit status. They do not pay income tax on the profits generated from gambling revenue streams.
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The Foundation for Alcohol Research and Education’s ‘State of Play’ report finds all NRL clubs, and five AFL clubs, are sponsored by gambling companies.
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The league has faced public criticism for promoting bets with an 85% failure rate for bettors while itself taking a share of the resulting revenue.
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Four Victorian clubs still operate poker machines despite having signed the "Love the Game, Not the Odds" pledge against gambling sponsorship. Those clubs collectively earned $40 million from poker machines in 2022/23 (Carlton $19.1m, Essendon $14.7m, Richmond $4.6m, St Kilda $1.8m).
Contact details:
Josh Comer
[email protected] | 0413 048 550