In unseen territories in the NRL, the Australian government and the PNG government will come together to ensure players and staff who sign with the PNG Chiefs will receive tax-free salaries.
It is to ensure players can adequately consider the Chiefs as a career option, with the tax-related benefits lasting 10 years after their inception.
A high-density crime rate in Port Moresby and players and staff having to relocate families to a different country are among the top reasons why incentives were introduced.
It has now been revealed by the Daily Telegraph how much the government will take a hit from this audacious cross-national project.
“The government will amend the tax law to ensure that income tax exemptions provided by Papua New Guinea for players and staff of the PNG Chiefs National Rugby League team operate as intended. This will decrease receipts by $5.4m over four years from 2026–27,” government papers listed on Tuesday.
Wests Tigers superstar Jarome Luai and try-scoring legend Alex Johnston are among the two early high-profile names committing to the Melanesian country, with dominos expected to fall in the coming months for more signings.
With Code Sports revealing that other NRL clubs are unhappy about the powerful advantage the Chiefs have with their tax-free dollars, there are worries players will be poached for a great opportunity to earn some good coin.
Within Australian laws, Luai takes home around $650,000 of his $1.2million Tigers contract, according to the Daily Telegraph.
However, the Chiefs' inaugural signing will take home every cent of his new deal starting in 2028, sending a powerful message to local PNG fans and other players to follow in his footsteps.
“Off the field, the significance is even greater,” Chammas said.
“Jarome Luai in a PNG Chiefs jersey is a cultural moment for our nation. Rugby league is everything to our people, and a player of his standing choosing PNG will resonate far beyond the sport. It will inspire a generation."
Meanwhile, the Perth Bears are reportedly up in arms about the treatment the Chiefs have been receiving, with the Sydney Morning Herald reporting late last week that the NRL will provide dispensation to the Bears as they navigate their way into the NRL.
The club has yet to land a big fish despite its looming entry into the competition next year, especially given the Chiefs have landed two stars when they are 18 months out.
The NRL's plans to expand the 13-man code won't stop there, with rumours surfacing they are looking at another club in Queensland or New Zealand as the competition's 20th franchise.
