The GST (Goods and Service Tax) has crippled the horse racing industry both at Hyderabad and in the country, according to Hyderabad Race Club chairman Surrender Reddy.
Addressing a press conference here on Monday night, he said that the government had imposed 28 per cent GST on horseracing compared to the average 7.5 per cent betting tax as was prevailing earlier prior to July 1, 2017.
Giving details about the turnover of the HRC, he said during 2016-17, prior to the introduction of the GST the turnover at the totalizators of the club was Rs.1,275 crore and after the introduction of the GST effective from July one, 2017, the turnover had dropped to Rs.760 crore during 2017-18.
During 2018-19, the turnover dropped further to Rs 630 crore representing a fall of nearly 57.5 per cent as compared to 2016. The turnover had also fallen further by about nine per cent upto June-end this year and in all by 66.5 per cent compared to 2016-17.
Reddy said that the revenues of the club as a consequence of GST imposition had drastically diminished.
The Turf Authorities including HRC were earnestly striving to impress upon the authorities concerned to review the method of computing GST on wagering in horse racing, he said and added that the turf authorities had also represented to the authorities concerned seeking review in method of levying GST on wagering in horseracing.