Tabcorp Holdings (ASX:TAH) and its subsidiary UBET QLD released a statement referring to the Claim made by Racing Queensland regarding the point of consumption tax.
The Claim relates how much the point of consumption tax imposed on UBET is borne by UBET or Racing Queensland.
UBET believes that it is entitled to reduce or offset the fees paid to Racing Queensland by an amount that reflects 100 per cent of the increase in wagering tax paid by UBET across racing and sport as a result of the introduction of the POCT.
This is when compared to the previous wagering tax regime in place with effect from 1 July 2014.
It appears, based on the Claim, that Racing Queensland agrees that UBET is entitled to make a reduction or offset, but only of a much smaller amount.
Tabcorp believes that Racing Queensland does not require any such repayment.
They are currently preparing its formal Defence to the Claim.
Shares in Tabcorp Holdings (ASX:TAH) last traded at $4.61.