Ticker
  • In his first start since the Remsen, Gift Box rolls over a strong allowance field at Belmont.Posted 2 hours ago
  • Nyquist has spiked a fever, delaying his trip to Belmont, via DRF's Dave Grening.Posted 3 days ago
  • Second Summer holds off Hard Aces to win the Grade 2 Californian.Posted 3 days ago
  • Exaggerator turns the tables and is victorious in the Preakness (G1).Posted 5 days ago
  • Takeover Target flies home late to win from last in the Grade 2 Dixie.Posted 5 days ago
  • American Freedom fights back for Sir Barton victory.Posted 5 days ago
  • Mizz Money holds on to take the Gallorette (G3) by a nose.Posted 5 days ago
  • Justin Squared was too fast to catch in the Chick Lang.Posted 5 days ago
  • Lady Shipman does not disappoint with a victory in The Very One.Posted 5 days ago
  • Marengo Road gets ahead to take the James W. Murphy.Posted 5 days ago

What Fiscal Cliff Legislation Means For Horseplayers

Daily Racing Form DRF

The tax-code changes passed last week by both houses of the U.S. Congress would have sent American horseplayers flying off a fiscal cliff had it not contained an exemption allowing them to continue deducting gambling losses against winnings regardless of new caps on itemized deductions.

 

The National Thoroughbred Racing Association deserves credit for lobbying for that reprieve, but its work in this area is not done. The Internal Revenue Service’s policies toward taxing gambling proceeds remains blatantly unjust and in need of reform. The continuing failure of the racing industry to change the fundamental problems with the tax code is costing it hundreds of millions of dollars a year in lost business.

 

The tax laws for racetrack gambling proceeds have changed little since the bygone era in which they were created, when the $2 bettor was the backbone of the industry and the most exotic wager was a daily double. It may have seemed reasonable then to consider a wager that paid more than 300-1 a lottery-like windfall to which the authorities had to be alerted. Today, however, with grandfather’s win-place-show bets accounting for less than a third of the handle, most players are regularly pursuing those higher-risk/higher-reward wagers, and getting themselves into tax trouble the moment they succeed. 

 

 

Read More

 

comments powered by Disqus

Older Comments about What Fiscal Cliff Legislation Means For Horseplayers...

Steven Crist does a good job documenting how horseplayers get the short end of the stick when it comes to taxes.

Top Stories