From NTRA
WASHINGTON, D.C. (June 13, 2015) — Alex Waldrop, President and Chief Executive Officer of the National Thoroughbred Racing Association (NTRA), is scheduled to appear before a June 17 Hearing conducted by the United States Treasury Department and the Internal Revenue Service to address proposed changes to regulations related to withholding and reporting of winning pari-mutuel wagers.
Waldrop’s appearance on behalf of NTRA members and the Thoroughbred racing industry is part of the NTRA’s on-going effort to modernize current IRS regulations relating to withholding and reporting. The NTRA’s proposed changes would clarify withholding and reporting rules by redefining the “amount of the wager” to include all of a bettor’s investment into a single pari-mutuel pool, and not simply the base amount of the winning combination. The NTRA’s proposed modernization would directly benefit pari-mutuel customers by reducing burdensome tax obligations while also lessening racing’s competitive disadvantage against other forms of gaming that are not subject to the same aggressive tax treatment.
The hearing follows the June 2 conclusion of a 90-day public comment period during which dozens of organizations, representing every sector of the Thoroughbred, Quarter Horse and Standardbred industries, submitted letters to Treasury in favor of the NTRA’s proposed changes. These communications were part of an enthusiastic industry response which included 11,665 supportive comments submitted by individual horseplayers, fans and stakeholders.
“The antiquated way that our industry must report and withhold winning wagers is costing the horse racing industry hundreds of millions of dollars in lost handle every year and driving high-end players away from the game,” said Waldrop. “Our goal at the hearing will be to explain to Treasury and the IRS how their misguided polices not only cost our industry in the form of fewer jobs and lost revenue but also result in reduced tax receipts for the federal government as well.”
The hearing, which is set for June 17 at 10 a.m. in the Internal Revenue Service Building’s IRS Auditorium in Washington, D.C., will also address a range of topics related to wagering, including separate issues of importance to keno, bingo and slot-machine players.