Online gambling operators in New South Wales (NSW) are bracing for a new tax regime that is expected to inject an additional AUD100 million (US$78.10 million) into the state funds.

On Thursday, Treasurer Dominic Perrottet announced a proposal seeking to impose an online gambling tax of “either 15 percent of bookmakers’ profits or 2 percent of total turnover,” The Australian reported.  Online gambling operators will have a four-week consultation period to comment on the tax proposal, before government officials make the decision whether to introduce it in the NSW budget.

Racing and sports betting taxes in NSW are currently charged at physical points of sale. Perrottet, however, pointed out that this scheme “does not capture most online wagering,” which has been growing in popularity in recent years.

“Other states and territories have changed the way they tax wagering following the rise of online betting, something we are also considering here in NSW,” Perrottet told the Australian news outlet. “We want a better understanding of how such a change would operate and whether it is the right move for NSW, so we want all interested parties to have a say.”