RACING TAXATION

Timaru Herald, Volume CXLII, Issue 20465, 9 July 1936, Page 11

RACING TAXATION

REDUCTION HOPED FOR REFERENCE AT TROTTING CONFERENCE By Telegraph—Press Association WELLINGTON, July 8. Confidence that the present Government would not countenance excessive taxation on racing was expressed by the acting-president (Mr B. S. Irwin) in his address to the New Zealand Trotting Conference to-day. “IKlling the goose that has been laying the golden eggs of taxation, we feel sure, will not be the Government’s policy,” he said. “In the past the Government either did not realise or refused to see that the exorbitant tax burden upon clubs had reached breaking point. This must be remedied in the interests of the country as well as of the clubs.’’ Mr Irwin recalled that through representation made early in the season, a clause was inserted in the Finance Act, whereby the stakes tax was reduced from 5 per cent to 1 per cent., and the totalisator rebate increased from 11 per cent, to 25 per cent, on the first £20,000 of the gross takings of the totalisator, both being retrospective as from August 1 last. The 25 per cent, was not additional to the li per cent, previously allowed or to li per cent, the etra allowance if the club showed a loss. The 25 per cent, rebate was Irrespective of whether there was a loss or a profit at the meeting. Only in an indirect way and to a very small degree did these concessions benefit the racing public. What the Government cut off the totalisator turnover and retained for itself after every race meeting was still a shamefully big slice of the loaf. Bettors fully realised this, and it was no wonder if many of them turned from racecourses to other places where they believed their bets were not subject to such cuts. The Prime Minister (Mr Savage) had epressed the view that the sports of the peoples should be as free from taxation as possible. The racing and trotting authorities had always agreed to bear a fair share of the country’s burdens, and did not expect to be tax free. There was no doubt, however, that racing and trotting had been taxed unmercifully. “We agree with the Prime Minister when he says that in the past there has been a total disregard of the welfare of the people wholly dependent upon racing for their living. Their earnings have been reduced probably more than any other section of the community—because they are engaged in an occupation which by reason of Its being a public amusement, is one of the first to suffer in times of depression,” Mr Irwin added. Totalisator Licenses The necessity for further totalisator licenses was also stressed by the speaker. The Minister of Internal Affairs (the Hon. W. E. Parry) had acknowledged that it was not only just but in the public interest that sufficient recreation should be available for those Ifving at a distance from larger centres. When replying recently to a deputation, Mr Parry expressed the belief that the time would come when there would be more race days allotted in New Zealand. He said that the present Government stood for a better proportion of the days of recreation, as compared with the days of work in the week, and so as to carry out this policy, it would have to create facilities and give the people means to enjoy their recreation. The turnover of the totalisator, however, depended upon the incomes of the people, and necessary legislation would have to be passed to ensure greater earning capacity for the people. The Minister thought that encouragement should be given to Hunt Clubs so as to engender the sporting spirit among the farming community, and to cater for isolated districts, and unless sporting facilities were provided in the country districts sons of farmers would drift to the cities for work. This no doubt could be equally applied to the trotter—the utility horse—more the product of the country than the town. In many thriving parts of the Dominion, the breeding of the light harness horse was growing apace. This was very noticeable in the farming districts of the South Island (with special mention of Southland and Canterbury). Some parts of the Southland province claimed the premier position, next to Canterbury, as the breeding centre of trotting horses.