Betting levy to help racing

Press, 3 November 1984, Page 1

Betting levy to help racing

An estimated $8 million extra a year will be deducted from money wagered on certain types of betting on racehorses and greyhounds, in order to give racing a “shot in the arm.”

The additional “take,” announced by the Racing Authority, will come from a levy of 2c in the dollar on bets on doubles, trebles, quinellas, and trifectas. The Racing Authority will distribute this money at its discretion. There will also be a remission of totalisator duty on the first $300,000 of totalisator turnover on licences restricted to oncourse only betting. Announcing the measures, the Minister of Internal Affairs, Mr Tapsell, said the racing industry had an important place in the nation’s economic and social fabric. The Government was aware of the problems facing an industry which contributed significantly to the national economy in several ways, not the least being the

generation of overseas funds through the sale of bloodstock, which last year had fetched $50.85 million. The National Yearling Sales showed that there were people throughout the world wanting to buy New Zealand bloodstock. It identified New Zealand in other areas of potential development, including tourism. Racing was also an important employer, Mr Tapsell said. It provided some 30,000 full-time jobs, and recreation for many people. Many ordinary New Zealanders were directly involved in racing through part-ownership of a racehorse, while many' thousands of others enjoyed it as a spectacle and as an interest. Mr Tapsell said that cen-

tral to discussions he had had with the Racing Authority and industry representatives had been the issue oi financial relief. But in the present state oi the economy it was not possible for the Government to make any major change to the rates of totalisator duty to give financial reliei to the racing industry. Submissions made to the Erevious Government had een studied, and a means to help the industry had been sought until permanent solutions could be found, Mr Tapsell said. His proposal to the Racing Authority would provide an interim, but immediate and substantial, measure ol financial help until next year when the Government would have had a chance tc

d examine the basis and the •- amount of taxation on betti- ing as part of its general if review of the whole taxation structure. if It was hoped that this it general review could be it completed in time for a e more permanent solution to ir be in place before or at the if time of the 1986 Budget, he said. e The financial relief was d intended to enable the Racis ing Authority d ®To provide financial it help to improve facilities at ir those racecourses considered vital to the industry’s :- future development. e @To provide higher e stakes subsidies to help if those whose livelihood de:t pended on the industry. it O To make better use of :o licences.