Racing’s good news in Budget

FEARS have been expressed that scrapping the tax-free status of stallions could hit the entire horse racing industry in Ireland.

However, the industry will benefit from another Budget measure, the halving of off-course betting tax to 1%, effectively allowing tax free betting from July 1, 2006.

The betting shop share of the off-course business has fallen from 90% to 56% in the past six years. Ex-Agriculture Minister Ivan Yates has been one of the main lobbyists for a betting tax reduction.

Horse racing is funded to a large extent by taxes and levies on bookmakers.