HRI in agreement with IBA over tax

Horse Racing Ireland today welcomed a statement by the Irish Bookmakers Association (IBA) that they have no objection to a doubling of the rate of betting tax on the basis that it would also be applied across all platforms, including offshore operations.

This was the central recommendation in the report by economist Colm McCarthy entitled “Financing the Irish Racing Industry”, submitted to the Department of Finance last month.

In the Racing Post this morning, IBA Chair, Sharon Byrne, stated: “We have no issue with the tax going up as long as it goes up everywhere”.

This follows previous statements by Paddy Power plc and Betfair that they have no objection to paying tax on their Irish and online telephone business provided it was applied consistently.

HRI’s Brian Kavanagh stated: - “I am pleased to see the IBA aligning itself to the position which Horse Racing Ireland has consistently promoted, namely a licensing system for all betting operators targeting the Irish market, with an appropriate rate of tax”.

Brian Kavanagh concluded: “Given recent developments in other jurisdictions where offshore betting operations have been successfully licensed and regulated, there should be no further barrier to the introduction of similar arrangements in Ireland.

"The introduction of such a system at the higher rate of betting tax which has been provided for in the Finance Act 2009, is the only way to protect jobs in the betting industry and secure funding for the horse and greyhound industries without recourse to central exchequer funding.”