Rs. 20 lakhs is being added to jackpot pool on Derby day.

Laast year it was a handsome 1 cr.  Today it is 20 lakhs.  When it comes to cutting corners, the first and last casualties are only punters.

Anyway, the person who selects winners among the 9,14,20,13,13 runners is an extremely good at handicapping.  He can expect a decent payout of course subject to 30% deduction on tax.

But, I can not understand the thinking process of the race administrators.  They are adding 20 lakhs.  It is a gift.  But why GST and Club commission should be taken away from that amount is something which I can not understand.

GST & Club commission are charged on sales on JP pool.  I do not know, whether GST should be paid on gift money from RWITC..  But, I think that is not warranted.  The club employs persons with good knowledge in finance as their finance officers.  The simplest these people  could have done is to write to GST council and get the issue clarified.  

It is too much to expect so much zeal from the finance officers when it is punter's money.  O K.  Leave it.  But, why club commission?  What is their logic in deducting club commission on this gift amount.  At least the finance officers at the club could have expressed their opinion and ensured that there is no club commission deducted.

Last year 1 cr was added out of which 46 lakhs was removed towards gst and club commission.  This year only 20 lakhs are added out of which 9,20,000 is swalloed towards club com + gst.  

Considering that today the attendance will be around 20,000, the club could have provided Rs. 100/- woth of snacks/coffee to everybody.  There was no need to add 20 lakhs to jackpot pool.  Indian punters would not have objected if the club had not added some amount to JP pool.