Report: N.Y. budget could include tax breaks for tracks

New York racetracks could get a $5 million tax break in a proposal for the state's budget.

BloodHorse reported that the New York Racing Association is pushing a plan to raise the pari-mutuel tax rate on advance-deposit wagering operators and lower the rate on tracks.

Gov. Kathy Hochul's proposed budget included revenue-neutral changes to pari-mutuel tax laws.

Under the newer proposal, out-of-state ADWs would pay 6.45% of handle in taxes, up from 5%, according to the report. NYRA, which now pays 7.45% of handle in state taxes, would see that rate drop by 0.54 percentage point. ADWs still would pay a lower rate than the 6.91% that NYRA would pay, according to the report.

"The proposed changes to New York State's pari-mutuel taxes and fees will simplify the horse-racing business and level the playing field between New York's racetracks (and) ADW operators and their out-of-state competitors," NYRA spokesman Patrick McKenna told BloodHorse in a statement.