Batting for the return of the bookies reveals more than what it seeks to hide. Is it a viable solution to handle a rather regressive and self-defeating sin tax? In the recent past BTC had amply demonstrated how the tote income could be taken to heights by giving up on bookies and show the way how to raise the bar by way of all time patronage and record turnover. Pity the healthy contributions flowing therefrom has not been taken serious note of by way of verifiable tax generations besides reducing the scope for manipulations to some extent, yes to some extent only as the benefits of manipulations find comfort zones by migrating beyond the borders of Bangalore where tote-only is not practiced. Gone are the days where betting sheets were called in for verification to ascertain cases falling under foul rat-smell whether unusual rise in betting pattern is noticed as one of the ways to ascertain facts. This is not possible on considerations of border jurisdictions.
A universal tote-only system for all theclubs backed by a saner tax provisions should be be the end goal of this game to attain (or retain) its true skill status and to enhance tax revenues multi-fold to the enormous advantage of the Government even after drastic reduction to sensible level, better tax compliance and above all paving way for a level playing field for all stake holders including small time punters.
Remember! Win without guilt attached to it is always the sweetest for you me or anybody whatever it means.

At a macro level.....
In the context of our laying red carpet to global FDI,it is not in sync behaving puritanical,talk and practice sin tax over these universally enjoyable pastime.

Is this at all Utopian goal?I keep my fingers crossed. I simply exercise my option to dream healthy.


Cheers
P>S: I just decided to leave this way without opening a distinct thread

Finally more mature persons are joining the debate.their arguments speak well for writers here.
Hunter you are right but sadly it is our dramatic F.M who has labelled this 28 % tax as sin tax.It creates a very wrong impression in public.

Since our so called race clubs are sleeping hopefully the lottery lobby may do some thing for us also

Dear Ramanujam,

1. It is a game of skill But it is clubbed with products of the highest slab.
2.Betting is Service & Entrance ticket is under entertainment tax ( Entry ticket even State Govt can add tax as in cinema halls)
3. Sin Tax is just a colloquial term nothing in GST Act describes it , Horse racing is taxed at entry & exit , Like in stock market any gains in Futures & Currency segment you have to pay capital gains which cant be adjusted towards any capital loss.This is in addition to STT.
4.Every Govt when it comes to " High Morality Grounds" they care two hoods about any punter The government has no qualms if Racing is closed in fact Land Grabbing sharks will be ready to gobble all the race course prime lands.

Lastly the biggest issue why any argument in court will be difficult to win is because this game of skill does not give any proof about who the real person having this skill is, Establishing identity is very important to ensure the skilled one gets the reward.Maybe if they can start an online betting scheme that can have lesser tax similar to online rummy .

Lottery Association is pursuing the government for rationalizing levy of GST. To sway public opinion, they have released ads in newspapers, giving detailed rationale for amendments to GST on lotteries. One needs to see a similar organised effort from racing authorities in India. Instead of factional fighting, the officials, who are mostly horse owners, should come together. This is the time for someone to provide leadership at this crucial juncture.

HH

Jai Jai gst

Ur right

dear Ramanjun I have never read such a balanced mature letter clearly spelling out every thing.
There is no need to comment and I agree when this source dries up they will wake up.

Some are hoping for over all reduction from 28 to 18 GST ,that will save racing.

So all we can do is wait and watch.
Regards Sir and please keep writing ,this site needs persons like you not hot heads calling GST names.

A sin tax is a state-sponsored tax that is added to products or services that are seen as vices, such as alcohol, tobacco and gambling. These types of taxes are levied by governments to discourage individuals from partaking in such activities without making the use of the products illegal. These taxes also provide a source of government revenue.

With the above hypothesis let us look at the scenario in betting on racing. Following points emerge:
1. Thanks to Supreme Court ruling Horse racing is out of the purveiw of gambling activitybut a game of skill unless it stands reviewed.
2. Betting per se does not fall under the category of product and leans more towards availing a service.
3. A sin product irrespective of its merits somehow instantly gurantees to confer psudo- pleasure upon consumption without the need to wait for any contingency whatsoever. On the contrary betting by way of purchasing a ticket at the tote does not guarantee any return whatsoever. A case in point is the mandatory announcement of risk factor we often come accross in mutual or IPO seeking funds and gets left to the individual judgement.. A punter takes full responsibility as any other investor similarly placed. It is therefore not in order to preemptively tax the service availed. His profits are taxed and loser is left to resign to his fate. Tax at the entry stage is therefore open to argument.
4. If there is no service provider there is none to seek service. If the State is concerned with the financial health of the citizens getting drifted away in sinful betting better ban the service providers. A welfare state cannot close its eyes to the so perceived evils of betting so along as it is in position to exhort its pound of flesh. Eventually a punter is ruined in geometric progression instead of the erstwhile spread. Having tasted the easy-flowing sin tax and enriching the coffers one fine morning the Tax collecting Agency will wake up to see there is no club to collect and remit to them. I’m sure they are not going to announce with pride they have been able to abolish the betting menace on horse racing altogether and pat themselves for the remarkable achievement.. On the other hand having tasted blood they will end up scrambling for measures with overwhelming incentives to revive the goose that had laid golden eggs when it is going to be too late> No matter which dispensation runs the Government then.

Indiscriminate dependence on collection of sin-tax is no less sinful than the sinner unless there is an irreversible goal in place as apprehended above.

Regards

He writes the present govt at the center and their bunch of jokers insisting on 28% GST on tote betting turnover.
Choice of words shows mind set they finalised GST over hundreds of items Only a bunch of Jokers can do it[as per him]

It was made clear that once you bet on horse it is no more horse racing but gambling.Can any one deny it

Some living in well like a frog can never see out side world.

The only hope clubs are now banking are 28 % slab reduces to 18 % for all

I am not taking any name, here so many are living in fools paradises, I request them, please do not venture out where the subject is alien to you. Not shoot from the dark.

A.D

Racing and punting comes under luxury. No point approaching any authority in reducing taxes.

Regarding which horse wins installed as odds on favourite or not is still a mystery. This has been happening for ages. No solution. Bear with the same.

Well said Mr. MM

In our BTC member list Mr. Santosh Hegde is present and he can guide the TAOI and BTC to fight in the court to charge GST on Club Commission only.

One more option is a PIL by anybody to change the procedure of GST on tote.

I feel in the Budget they may scrap 28% altogether, we have wait and see.

At present Club business is ROB THE PETER AND PAY THE PAL.
Lastly there is no information that the clubs fighting for the punter.
MAM was the only person who fought in court to get back racing in Channie and I have not seen any Club or Person (from Club ) fighting for Club/Punter!!!

some here seems to be on the wrong track and by calling names to gst council, will not get you any where.

DH''BHOY went to delhi on Friday and was told very clearly that it will be a political decision.

I f you think any FM having said SIN TAX. will change it please look facts than your imagination or fiction living.

I do not see any future changes so let us see what happens to the clubs after one month

@ Surendar
It is important to understand the role of a joker card in a rummy game. A typical pack of cards consists of 52 suit cards and 2 jokers. The Joker assumes the prime importance in the game as it increases one’s chances of winning. Unless you know the role of a Joker, ignorant people like you believe I used bad language. Without a Joker no Circus Show can be success.

racing is king of sport or sport of kings and these kings or sportsmen using bad language like jokers in the GST COUNCIL those jokers elected these great sportsmen.
thaks

When hav the authorities ever bothered about the Punters,they thrive on the fact that 80% of punters are addicts and put up with ever they do ,even if 70% of Punter money is sucked off as GST and club commission.I have been saying with the kind of payouts on the Tote,Racing is just not unviable for the Punter but impossible.As it is we find quite few Punters roaming around the Course aimlessly picking up discarded tickets.Soon that will become a Majority.Yes it just looks like suck the CLubs dry and then get prime Land.What is certain is that it will be Racing Mukht Bharat for sure,very soon

First and foremost, a much bigger problem exists than the GST.

Manipulated races, made-up races and crookedity is going on beyond punters tolerence.

Yes, do approach the court for GST, but first let some legal eagle file an FIR on trainer Shroff / others, and connections for the cheating they are indulging in.

CPC 420 along with other sections are the appropriate section to file on Pesi, as a first deterrent.

Tote and bookies make no difference to wrong-doings of connections.

We stand united in our bid to save racing not only in BNG but al over.

Facts 28 %GST has been clubbed with IPL enterence tickets and called ''SIN TAX''By the FM.
So that by itself kills any reduction as majority see racing as a sin itself

The govt says go ahead with racing but moment you bet on it you pay tax.

No purpose will be served by going to courts as many in industry have already exhausted this idea.

So that leaves us with cost cutting every where.Feb TAI will meet in mum and high time they take it as a challenge