Between Races, Daily Racing Form, 1951-05-21

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BETWEEN RACES * °™ PIMLICO, Baltimore, Md., May 19. —A group of American breeders has done a lot of checking into economics and the like, and has pome up with the following arguments against the proposed federal tax law change which would limit breeders to farm losses of ,000 per year. The arguments are. sound and substantial, in | nef, making the following points: There is no reasonable need for such limitation. Such legislation is discriminatory and would deny breeders in the livestock industry rights enjoyed in other industries. It would wipe out more federal tax revenue than it would create. It would establish an unwarranted and unconstitutional invasion of state policy by thf federal government. It would be entirely punitive in purpose and effect. Wiping out of horse breeding would be a manifestation of tax illiteracy because, instead of enlarging, it would narrow the tax base. Calling such action, taxation would not alter the fact that it is really expropriation. The adoption of a uniform nation-wide federal tax measure of such punitive character would represent vicious discrimination against states which only comparatively recently have begun the development of breeding industries. And finally, the fact that some farms are operating in the red is due more to the fact that the industry is in an early stage of development in most states, that -there is no reasonable basis to assume that such always will be the case as the industry grows, and moreover, no desire ever has been shown that the industry has evaded taxes of any kind. AAA The breeders have taken the State of New Jersey as a good example of* the "new" breeding commonwealth. Breeders State Case Against Tax Proposal Uncalled For, Unjust and Un-American Call Jersey Typical New Breeding State Wetherill Operates Stockless Stud Farm They say: "A litle more than 10 years ago, New Jersey adopted a policy of fostering agriculture and economic development by legalizing racing and pari-mutuel wagering. This had the effect of stimulating restoration of the horse breeding industry, and the economic expansion has been achieved in part, but, as would be natural for an industry of this character, the time has been too short to achieve a going concern basis for the industry in a financial sense. World War n. supervened, as did many problems which are attendant upon the initial stage of a new industry. Thoroughbred breeding in New Jersey has steadily increased, however, and it has contributed more and more to the income of the state as well as to the tax revenues of the state, federal, and local governments. For the federal government to stop such a development blindly would be an unconstitutional invasion of the rights of the state, as well as utterly stupid from the standpoint of the federal governments own interests. Racing depends upon breeding. To wipe out breeding, to deny the right to individuals to enter the breeding business, to deny the individual the right to apply income or capital to breeding as he sees fit, would be uneconomic, arbitrary, capricious, and unconstitutional." The figures of the growth of the industry in Jersey read like this: Ten years ago, 10 farms, 45 mares, six stallions, and a capital investment of about 50,000. Today, 92 farms, 546 mares, and 48 stallions registered with the New Jersey Thoroughbred Breeders Association. These breeders, on their present investment of about 1,000,000, pay more than 00,000 in direct state and local taxes. AAA Horses and People: Mark Cox HE., the Cheyenne cattle baron, has returned from an extended trip to South America, where he took in the racing at Rio. While in Uruguay, he purchased the good thoroughbred, Flotongo, who is now in the process of hurdling red tape prior to shipment to Denvers Centennial Park. Cox is a major breeder, having some 80 thoroughbreds at his Angus ranch, and he will race some of his own breeding at the Colorado track this summer. . .New Jersey breeders do not open their association ranks to everyone. A man must qualify on personal integrity and in the proper care of his thoroughbreds before being voted into membership. A number of new farms are in prospect for Jersey, and an idea of the trend is the transfer by Philadelphias Dan and Janet Kelly of their stock from Pennsylvania to Bernadotte Farms. "Frankly, nothing wrong with our part of Pennsylvania for breeding good horses," explains Kelly, "but we want to take advantage of the New Jersey-bred laws." AAA Corty Wetherill, of Newtown Square, Pa., operates one of Americas most unusual breeding farms. It boasts neither stallion nor broodmares. Actually, Wetherall owns a goodly piece of Orestes n., the imported sire standing in Virginia at Tyson Gilpins place, plus a share in Bolero, at Elmendorf, and he owns six mares, but they are seldom in Pennsylvania. Wetherill prefers to keep them moving about, usually at the farm where they are Continued on Page Thirty-One BETWEEN RACES I By OSCAR OTIS Continued from Page Forty mated. On rare occasions, one of the mares gets home for a brief stay. . .Gene Normile says he may open the old race track at Reno, and stage a fall meeting there. James Wood Coffroth ran a successful meeting there in the twenties. . .For those western tracks catering, in part, to quarter" horse races, the experience at Bay Meadows this spring was enlightening. One quarter horse event at the Meadows, spotted fifth on the card, handled 15,000, thought to be an American record mutuel play for the byeed. AAA Jim Henderson, the Lexington thoroughbred writer, breeder and stable owner, is doing a bit for interstate relations by helping Pennsylvania improve the breed. Hes editing the official publication of the Keystone horse people, the Pennsylvania Horse Breeders Bulletin. The Penn breeders organized in 1948, non-profit, and Henderson commutes to give the publication a tone of experience and authority. . .Ak-Sar-Ben, which opens Tuesday, has found that stake racing is popular with its patrons. Its program for this summer is the" richest ever, with a 0,000 handicap for the Fourth of July, and a new two-year-old stake included. . .The turf publicists postponed their scheduled conclave on Preakness eve in favor of a date early in June because Preakness activity was so intense the lads could not get down to work in the proper atmosphere . .The late Harry Strauss was remembered at the annual dinner of the Maryland Breeders Association.


Persistent Link: https://drf.uky.edu/catalog/1950s/drf1951052101/drf1951052101_40_3
Local Identifier: drf1951052101_40_3
Library of Congress Record: https://lccn.loc.gov/unk82075800