TOTALISATOR TAXATION

Taranaki Daily News, 22 August 1930, Page 9

TOTALISATOR TAXATION

EXPLANATION OF ITS EFFECT. . (By Wire. —Special to News). % Auckland, Last Night. The increase in the totalisator tax from 2% to 5 per cent, embodied in the Finance Bill passed in Parliament this week operates at once. The GovernorGencral’s assent to the' measure is expected to be given to-morrow and the first race meetings at which the extra , tax will be levied are those of Pakuranga hunt at Ellerslie and the Hawke’s Bay hunt at Hastings on Saturday. The amusements tax increase will also be levied at those meetings. The new totalisator tax means that the Government takes one shilling instead of sixpence from every pound invested, while clubs will continue to take Is 6d in the form of dividend duty. The Government still levies s.per cent., but as the larger amount will have been taken from the pool in the totalisator tax dividend duty the yield will be slightly smaller, amounting to 10.5 d in the pound instead of IO.Sd. The aggregate deduction from every pound invested is therefore 3s 4.5 d instead of 2s 10.3 d. The Government will receive Is 10.5 d instead of Is 4.8 d and clubs will continue to receive Is Gd. The investments at- the Pakuranga Hunt races a year ago totalled £40,938 and the Government took £2869 in ■ . totalisator and dividend tax. Assuming that the same amount is invested on the totalisator on Saturday, the yield ..to the Government will be increased to £3842. The club’s quota will remain at £3074.