TOTALISATOR TAX

Otago Daily Times, Issue 25385, 17 November 1943, Page 2

TOTALISATOR TAX

REVENUE FOR PATRIOTIC PURPOSES AN INTERESTING PROPOSAL A suggestion that the patriotic funds might be assisted by the levying of an additional 5 per cent, on totalisator leceipts at race meetings was placed before the Otago Provincial Patriotic Council at its monthly meeting yesterday by Mr W. P. Hartstonge, the Mayor of Mosgiel. It was decided that the suggestion should be forwarded to the national secretary for consideration at the conference to be held in Wellington next week. Mr Hartstonge said that as each year passed the achievement of district quotas became increasingly difficult. For the year ended July 31, 1943, the totalisator tax collected in New Zealand amounted to £433,000, which represented the Government’s tax of approximately 8£ per cent, on the turnover. He suggested that this tax should be increased by another 5 per cent., which would, he considered, bring in an additional £450,000 next year, if the totalisator returns continued to increase as they had done in the past. The Government had decreased the number of racing days in the year, but in spite of that the totalisator investments had gone up. In war time, that was right, and it was for this reason that he made the suggestion to take some of the money for patriotic purposes. He did not think the racing clubs would have any objection, for the only possible chance of their suffering a loss would be if the totalisator investments decreased. If the patriotic organisations could get this money they would have no difficulty in making up their quotas. Mr Edgar Hazlett said that the Government. by means of the totalisator lax, obtained an enormous amount from people who did not contribute to patriotic funds, and in fact, who did not, in many cases, have to meet ordinary taxation. It was possible, however, that an increased totalisator tax might cause people to put less money on the toialisatob. It was a big question, and one that would require close consideration before a decision was reached. *

Mr W. B. Taverner said that the question was whether the funds from the proposed tax would go to the National Patriotic Fund or to the provincial funds. Personally, he thought it would go to the national fund, and in that event the proposal would not have the effect visualised by Mr Hartstonge. Mr Hartstonge replied that if the proceeds went to the national fund the provincial councils would secure some relief.

On the suggestion of the chairman, Mr A. H. Allen, it was decided to forward Mr Hartstonge’s proposal to the national secretary.