TOTE TAX

Hokitika Guardian, 29 April 1930, Page 6

TOTE TAX

INCREASE PROPOSAL

,By Telegraph—Press Association)

AYELLINGTON, April ‘>3

Cl Mr AY.,'J. Poison, AI.P., in an address delivered at Invercargill, proposed. amongst other things, that, the totalisator tax be increased from five to seven per cen.t. The New Zealand Sports Protection League points out that the- totaiisator tax is already ten per cent., in addition to which there is a tax of five per cent, on dividends and five per cent on stakes. By these special and distinctive forms, it says, the State receives in round figures more .than half a million pounds per annum. This is really more than tiie sport can bear, says the.. League, in a statement. Any attempt to increase the rate would have the effect of depreciating the .State revenue rather than .increasing it. Ihe clubs which are gratuitous tax collectors for the Government, would in many cases he seriously .crippled! and in some cases their very existence would be threatened. The last increase was imposed in 1921, and was accepted by the racing authorities to assist in post-war financial difficulties as a. temporary measure, but it was made permanent in 1924. The effect of such an increase has been to provide the State with very little additional revenue, while the revenue of the clubs has fallen by about £2tKi,lKso per annum. This has necessitated an all round iodnet ion in stakes, course improvements and public facilities. The smaller clubs are all struggling for their existence. Hie League adds: H Air Poison desires more revenue iior Lite State, lie should move to give the right to those who are unable to attend tlie course to make their investments through legal channels, instead of giving a monopoly of this business to those who defy the law.