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The Star Entertainment Group has settled a series of long-running tax disputes with the Australian Taxation Office (ATO) relating to GST and withholding tax treatment of payments made to international junket tour operators between 2013 and 2020.
Under the agreement, The Star will receive an approximate A$33m refund from the ATO. However, the settlement will also result in the company recognising an approximate A$55m charge in its FY2026 financial results.
The disputes related to the tax treatment of commissions and other payments made to junket operators during a period when international VIP gaming formed a significant part of the operator’s business.
The Star said the agreement resolves the outstanding matters with the ATO, providing greater certainty over its tax position as the company continues its broader financial and operational restructuring.
The settlement represents another step in The Star’s ongoing remediation programme following a series of regulatory investigations into its governance, compliance and historical operating practices. Over the past three years, the operator has undertaken significant reforms while working to strengthen its balance sheet and restore regulatory confidence across its Australian casino operations.
Although the settlement results in a material accounting charge for FY2026, the resolution removes a legacy tax issue from the company’s balance sheet and provides clarity on liabilities associated with its former international VIP business.
