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Back to listsA Novel Protest Idea To Fight The 40% Gst Proposal – Survival Of The Sport
By N M Selvan | 04-Sep-2025The pitiable plight of the racing Industry
Horse racing has always been known as the sport of kings, but today it faces the indignity of being equated with street lotteries. The government’s proposal to impose 40 percent GST is not merely high—it is fatal. The industry must rise as one: horses in silks, placards declaring the truth, peaceful processions demanding fairness. This is a novel protest, but it is also the only way to save the sport. The time to act is now—before racing in India becomes only a memory
Why This Protest is Needed
The proposal to raise GST on horse race betting from 28 percent to 40 percent is more than just a tax change—it is a death sentence for the racing industry. Already crippled under the weight of the earlier 28 percent, racing has seen its revenues collapse, owners walk away, and thousands of workers lose their livelihoods. If this increase is enforced, Indian racing will not decline gradually—it will collapse suddenly. The urgency cannot be overstated. This is a moment of survival, not negotiation.
The Damage Already Done
The racing industry has suffered heavily under the 28 percent GST regime. Hyderabad is the most striking case. In 2016–17, official betting turnover stood at ?1,217 crore. By 2024–25, it had shrunk to only ?141 crore. This decline is not because punters lost interest, but because taxation drove them into the illegal market, which today is estimated at over ?2,000 crore annually in Hyderabad alone.
A Double Standard in Policy
India has repeatedly protested against the United States for imposing steep tariffs, such as the 50 percent duty levied by former President Donald Trump. At the time, the government argued that such protectionist measures destroyed employment for thousands of Indian workers. If that was true, then how can the same government now justify imposing a 40 percent GST on horse racing—a sport and an industry that supports thousands of professionals, stable hands, riding boys, trainers, breeders, and veterinary staff? An American leader’s ignorance of Indian economics may be pardonable, but when our own government knowingly destroys employment at home, it becomes indefensible.
The Shadow of Illegal Betting
Taxation at 28 percent had already created a thriving illegal betting market. With GST at 40 percent, legal pools will become irrelevant. Punters will simply shift completely to illegal channels, where no tax is collected and no regulation is followed. The government will not only destroy racing but also hand over control of betting to the underworld. This policy will not eliminate betting—it will eliminate legal racing.
Collapse of the Racing Ecosystem
Horse racing is not just about punters and race clubs. It is a deep ecosystem that sustains livelihoods for tens of thousands of people. Owners invest in young horses, breeders maintain stud farms, jockeys train daily, stable staff care for horses, veterinarians provide treatment, and farriers shoe the animals. Already the number of racehorses has dropped sharply, and owners are exiting in large numbers. With a 40 percent GST, owners will stop buying, breeders will close their farms, and workers will lose their jobs. This will destroy a 200-year-old cultural and sporting tradition in India.
How the Protest Should Be Organised
The racing industry must respond peacefully but powerfully. Dignified protest, rooted in the sport’s traditions, is the best way to make the government and the public listen. Here is how it should be done:
Simultaneous Nationwide Action: Organise peaceful protests in Mumbai, Bangalore, Hyderabad, Kolkata, Chennai, and Delhi at the same time. Coordinated action will create national impact.
Mounted Processions: Hold one-kilometer processions from racecourses daily for a week. Jockeys and riding boys should ride Class 5, Class 4, and older horses that are not active contenders. This protects the main racing string while still making a strong visual statement.
Jockeys in Silks: Riders should wear the colourful silks of owners, symbolising the tradition and dignity of the sport. The sight of jockeys in silks mounted on horses will be powerful and unforgettable.
Placards on Saddle Cloths: Each horse should carry a placard with bold red letters on a white background, reading: ???? SOS – 40% GST KILLING RACING. This clear, visual message will dominate media coverage.
Unified Press Messaging: Race club chairmen and officials must speak to the media on the same day, stressing one core demand—that GST must apply only to club commissions, not the total turnover.
Legal Action: All clubs should form a Joint Action Committee (JAC) and be ready to file an emergency case in the Supreme Court, arguing that this tax is unfair, destructive, and unconstitutional.
The Urgency of Action
Hyderabad’s decline shows what is coming. From?1,217 crore in 2016–17 to just 141 crore in 2024–25, the collapse has already begun. Illegal betting is rising, jobs are vanishing, and farms are closing. The 40 percent GST will finish what the 28 percent began. If we wait quietly, racing will be gone in a matter of months, not years. Silence will mean extinction. Action can still mean survival.
Your views in support of this noval protest for or against is welcome.
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