Here and There on the Turf, Daily Racing Form, 1922-10-20

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: . . , Here and There on the Turf Excessive Canadian Turf Taxation. I : Canadian racing is facing a serious condi-dition : of affairs in the matter of taxation that lias grown until it almost amounts to confiscation of all possible profit. The Ontario government report of the amount of revenue from racing brings this home forcibly and, unless there is some modification of the existing tax laws on the sport, it is possible that some of the associations will be forced to close their gates unless a larger percentage is allowed. The tax imposed on the wagers has so affected the attendance at the various race tracks of Canada that these figures show a falling off of 12,000,000 in the amount of money wagered over that of 1921. The Ontario Jockey Club, that races at its Woodbine Park track in Toronto, and the oldest of Canadian jockey clubs, has reported a loss of 7,000 on its fall meeting. Other clubs have had a serious falling off in their revenue and the Connaught Park Jockey Club of Ottawa reports a loss of 4,000 on the 1922 season of racing. This association, as well as others, has about decided to go out of business unless there is relief provided. There is si request now before the government asking for relief from the rate of taxation. Every effort will be made to have it granted before the racing season of 1923 opens. This too heavy taxation on wagers has a double objectionable effect. By driving away those who wager from the race course, by reason of the excessive taxation on their wagers, it does not stop the wagering. All that is accomplished is to open the way for the handbook and drive the betting away from the course. That is .something much harder to regulate than the race courses themselves. It is a form of wagering on horses that has never done the turf itself any good. There must be wagering of some description for the turf to endure, but wagering in pool rooms or throueh handbooks has never had other than a detrimental effect. It is natural to wager on the scene of the contest and, no matter what the laws, there will always be such wagering. It is easily safeguarded by proper policing and the carrying out of existing laws, but any law that will drive this legitimate speculation away from the race courses and scatter it promiscuously about handbooks and poolrooms has brought about a condition that is much harder to police and regulate. Another erroneous impression that is created whenever there is publication of wagers through the mutucl machines is that the vast amount of money is "new" money. When the millions arc mentioned it must be remembered- that it is the same money handled over and over again. Too often these figures are used to convince that racing is a drain on the country. There is no greater fallacy. Racing is of sound financial value to any section in which it is conducted and when records of wagers are made public it must always , be borne in mind that only a small percentage of that total is "new" money. This money is turned over from day to day until the amount appears to be tremendous, but it would be interesting to know just what really "new" money entered into the wagering. It is not intended to offer any argument for or against the use of the mutuels or the books as a method of wagering on races, but it is only fair to mutuels, the only method in which a record is kept of the transactions, to explain that the millions are reached by constantly turning over the same money. This Canadian taxation, unless there is a modification of the rate imposed, is almost sure to deal a. death blow to the Canadian turf. The associations cannot continue to race when facing a certain loss. There must at least come a cutting down of the values to be raced for if the sport is to continue. This will naturally result in a lower class of horses furnishing the entertainment, and that will be the beginning of the end. Most of the associations had elaborate plans for 1923, but it is inevitable that some will have to be abandoned. There will be racing after a fashion, for the turf is too firmly established in Canada to be entirely abandoned, but it will not be what it has been built up to be in the past few years. Canada, by its liberal purses and big stakes, has been attracting the best horses from every section of the country. Some of the most notable races on this continent have been staged on the other side of the great lakes, and the St. Lawrence, but they cannot be continued if the tracks themselves are taxed beyond any hope of payment with a profit remaining. Fortunately the Canadian government is broad-minded and likely to consider the issues involved with an adequate measure of consideration.


Persistent Link: https://drf.uky.edu/catalog/1920s/drf1922102001/drf1922102001_2_2
Local Identifier: drf1922102001_2_2
Library of Congress Record: https://lccn.loc.gov/unk82075800