THE "TOTE" DUTY

Evening Post, Volume CX, Issue 44, 20 August 1930, Page 6

THE "TOTE" DUTY

INCREASED RATE PASSED

The iuerease from 2} to 5 per cent, in the totalisator tax was briefly discussed before it was approved by the House of Representatives last night.

. .The Hon. W. Downie Stewart (Reform, Dunedin Wesfc) said he did not think the tax was being imposed in the tight place. If the Prime Minister ■Wished to avoid discouraging investments on the totalisator he would put the duty on the dividend instead of on the total amount that went into the machine. The bettor who had a win did not niind being taxed, but if the duty was taken off before the dividends were paid the money in the machine would iot go as far as would be the case otherwise.

■': The Prime Minister (the Hon. G. W. Forbes) said that when a man put his pound into .the machine he generally said "good-bye" to it, and he did not think about the amount that had gone to the State. If he knew that a largor amount was going to the State than before he would be all the more pleased. (Laughter.) -

Mr. H. S. S. Kyle (Reform, Rieearton) said he did not think the increase would result in half the anticipated amount being collected. Already people were refraining from investing in the totalisator, thinking that tho duty was in force. The change would wipe many of the country Tacing clubs out of existence. At a meeting in Christchurch last week the investments had fallen by £71,000.

Mr. H. T. Armstrong (Labour, Christchurch East) declared that the bookmakers were rejoicing, because they .would gain_ enormously if the tax was imposed. He felt sure that the State would derive less. No form of sport .was taxed more than racing was taxed. The people wanted the sport and were entitled to it, but tho Government was taxing it out of existence. ]

Mr. J. A. Nash (Reform, Palmerston) taid people who went into sport were Always prepared to pay. for it, but there 'was no doubt that recently there had "been a falling off in, investments. He held no- brief for the racing clubs, but- . there was such a thing as taxing them «ut of existence altogether.

The clause was agreed to.