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Taxing the Pies not the answer: McGuire

Making the AFL fair.

Making the AFL fair. Photo: Matt Davidson

Collingwood president Eddie McGuire says the AFL needs to concentrate on the draft and salary cap rather than tax the richer clubs in a bid to help equalise the competition.

And on the morning that The Age's Emma Quayle revealed that the AFL is considering a 'luxury tax' on rich clubs like Collingwood, league deputy CEO Gillon McLachlan has hit the airwaves to emphasise a range of measures is being considered.

McGuire said the league must avoid simply mimicking the measures used by America's National Football League.

McGuire said fixing the stadium deal for clubs playing at Etihad Stadium was important, but "the two biggest issues are to make sure that the smaller or poorer clubs … can compete against anyone is to get the salary cap right and to get the draft right".

McLachlan told Triple M and SEN radio that the AFL was offering "broad brush" equalisation proposals to clubs ahead of a meeting in March, and was not trying to steer the discussion.

"It was supposed to give you the data and then let the clubs respond about what they thought," McLachlan told Triple M.

"There's a whole series of things at play here and I don't think that anyone's already got it in their head that it's a luxury tax or just taxing clubs is necessarily a solution. I do think it's a completely open mind and hopefully with the clubs and the commission and everyone else we go in that's the approach we go into the meeting in March."

Mclachlan said the AFL's consultative approach was similar to that taken at Wednesday's drug summit.

"There is an issue that needs solving and then how we do it is up for debate. If we did for instance have stadium arrangements that were all the same, then that would deal with a lot of the issues."

On SEN, McLachlan reiterated that the discussion would canvas many proposals.

"(It was designed to) give them some facts about relative strengths of clubs, to look at why the problem exists, to look at international experiences, what people might be doing in other codes … and then ask the clubs on that basis do they think that we have some issues that we need to be solving.

"We think there are a range of solutions. The luxury tax... is an example of one used in (Major League Baseball) certainly.

"But I think we're very open to how we might solve it. I don't think we've got any fixed views at the moment."

40 comments

  • Taxing is a lazy option. The AFL should concentrate on getting clubs to raise their own sustainable revenue streams. And by the way, throwing a couple of hundred mill at GWS & GC probably didn't help

    Commenter
    Gaz
    Location
    Yarrawonga
    Date and time
    January 31, 2013, 12:47PM
    • What about more poker machines?

      Commenter
      Gordon
      Date and time
      January 31, 2013, 4:49PM
    • Spot on.

      If a local business is going down the tubes because of poor service and a drop in customer numbers you don't see a similar and suuccessful business across the street passing over a handfull of dollars to save the struggling one.

      Commenter
      food chain
      Date and time
      February 01, 2013, 8:28AM
  • Of course Eddie is going to reject the idea - such an article reporting on this fact is like writing about the sun coming up this morning. Eddie is only interesting in four things - 1. Eddie. 2. Collingwood. 3. Nathan Buckley. 4. Channel 9.

    Anything or anybody that conflicts with any of those things ends up in Eddie's crosshairs. Even Mick Malthouse, after making a fair comment about Collingwood's game plan, can end up a target up Eddie's public tirades and vitriol. Eddie's ego is bigger than Eddie's head.

    Commenter
    Wes Mantooth
    Date and time
    January 31, 2013, 12:48PM
    • I thought the 4 things are listed as
      1. Eddie
      2. Collingwood
      3. Eddie
      4. Collingwood

      1. Will Eddie get on the news?
      2. Will Collingwood come up when Eddie does get on the news?
      3. Will it promote Eddie's name when Collingwood comes up as Eddie is on the news?
      4. Will it advertise for Collingwood as Eddie's name is promoted on account that Collingwood comes up when Eddie's on the news?

      Commenter
      Amused
      Date and time
      January 31, 2013, 2:40PM
  • Great work Gilligan, sorry I meant Gillon. Can you name any of the US cities that have 10 MBL, NFL, NBA, NHL clubs in that that city. In fact can you name any national competition in the world that has 10 clubs in the one city. There you go I have solved the problem for you already. Blind Freddy can see that the problem with your business model is a simple one of supply and demand, with too much supply of mediocre clubs in one place with dwindling demand. The AFL has become more and more socialist over the last 20 years just to support clubs that the fans and sponsors don't want to support. Common sense says the competiton can't support 18 clubs to start with and don't get me started on GWS and GC, if you wanted a more even competiton then the best players from those clubs should have been distributed through the 16 other clubs. Worst of all you have forced me to agree with Eddie for the first time in my life, why should the successful clubs subsidise the pathetic clubs just so the AFL can help those clubs compete with the successful clubs. Or is the final AFL model to have 18 mediocre and poor clubs with no successful clubs, then they would have achieved their socialist utopia of controlling the finances of all the clubs.

    Commenter
    Hugh Hefner
    Location
    Perth
    Date and time
    January 31, 2013, 12:55PM
    • You hit the nail square on the head there.
      First how can you punish a club for doing the job right?
      I thought the mantra of any business model was to promote, profit & grow.
      Collingwood, Essendon, Carlton, Hawthorn and Richmond should be the only clubs in Melbourne. Even that is too many but they have a large supporter base and are financially viable.
      All the other clubs in Melbourne should either Merge and relocate, or just fold.
      What the AFL is doing now is akin to shuffling deck chairs on the Titanic.

      Commenter
      Jeda
      Location
      Melbourne
      Date and time
      February 01, 2013, 7:09AM
    • Hugh I have to agree with some of your thoughts as written.

      To use the words of Winston of the cigar and two fingers in the air, "making one man poorer does not necessarilly make another richer", or something along those lines.

      Reverting to the twelve team competition has merit I think. Culling some teams and or amalgamation is the way to go. A ten to fifteen kilometer radius from the heart of Melbourne rings in about eight clubs. Far too many in this day and age.

      As a Collingwood devotee, and without wanting to looked upon as inflamatory I think Melbourne, Hawthorn and Richmond and StKilda could combine and maybe field a reasonable side. Footscray could combine with Essendon, Carlton and Geelong giving them a chance to develope into a formidable opposition or at least something half reasonable, and good old Collingwood will do as it always has, take them all on and give them a real touchup. Problems solved!

      Commenter
      Winnies words maybe a winner
      Location
      Across the chanel.
      Date and time
      February 01, 2013, 8:27AM
    • Well said Hugh. More handouts for the poor clubs won't help them run their businesses better. If they can't survive because they don't have enough supporters, sponsors or competent management, handouts will only bandaid over the real issues, and punish the clubs who have put the effort into building a strong business.

      Commenter
      Cam
      Date and time
      February 01, 2013, 9:25AM
  • over you eddie !!!! you have been a president for 5 years toooo long ...Most do take what you say with a grain of salt ( as your a one eyed pie supporter ) and as your roll as a radio personality that is your job to entertain ... hindsight will prove me right

    stop whinging (and being one eyed regarding your club) there is 18 clubs in our great competition and if there was only the pies (who would they play ) if the AFL has a concept to make all 18 clubs viable ///live with it or at least talk about it in a proper manner

    Commenter
    CBD
    Location
    Melbourne
    Date and time
    January 31, 2013, 1:23PM

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