Following targeted lobbying from the National Thoroughbred Racing Association, 'Fiscal Cliff' legislation passed yesterday by both the U.S. Senate and U.S. House of Representatives contained language in Section 68 (c)(3) of the tax code that exempts wagering losses from being subject to the newly enacted limitation on itemized deductions.
“I salute our legislative team in Washington,” said Alex Waldrop, the president and CEO of the NTRA. “They not only identified this key issue for members of Congress while various fiscal cliff proposals were in their early stages, the team also proposed a solution that was ultimately adopted.
"While the outcome of these latest negotiations can be viewed as a victory for horseplayers, the issue of comprehensive tax reform is expected to be taken up later this year. The NTRA will continue to work closely on this issue and others affecting horseracing and breeding. ”
Click here for more details on the taxation of gambling winnings.
(With files from the NTRA)