CHAPTER 9. TAXATION AND DISTRIBUTION OF PARI-MUTUEL REVENUES
IC 4-31-9
Chapter 9. Taxation and Distribution of Pari-Mutuel Revenues
IC 4-31-9-1
Withholdings
Sec. 1. A person that holds a permit to conduct a horse racingmeeting or a license to operate a satellite facility shall withhold:
(1) eighteen percent (18%) of the total of money wagered oneach day at the racetrack or satellite facility (including moneywagered on exotic wagering pools, but excluding moneywagered on slot machines under IC 4-35); plus
(2) an additional three and one-half percent (3.5%) of the totalof all money wagered on exotic wagering pools on each day atthe racetrack or satellite facility.
As added by P.L.341-1989(ss), SEC.2. Amended by P.L.24-1992,SEC.27; P.L.233-2007, SEC.10.
IC 4-31-9-1.5
Retention from withholdings
Sec. 1.5. A person that holds a permit to conduct a horse racingmeeting or a permit holder licensed to operate a satellite facility shallretain the following amounts from the money withheld under section1 of this chapter:
(1) For pari-mutuel wagers made at a permit holder's racetrackon live races, an amount equal to:
(A) eight percent (8%) of the total amount of moneywagered on win, place, and show pools on each racing day;plus
(B) eleven and one-half percent (11.5%) of the total amountof money wagered on exotic wagering pools on each racingday.
(2) For pari-mutuel wagers made at a permit holder's satellitefacility on simulcasts of races originating from the permitholder's racetrack, an amount equal to:
(A) ten percent (10%) of the total amount of money wageredon win, place, and show pools on each day; plus
(B) thirteen and one-half percent (13.5%) of the total amountof money wagered on exotic wagering pools on each day.
(3) On the simulcast of races, for the Indiana sending or Indianareceiving track or its satellite facilities, the amount to beretained, after deducting:
(A) pari-mutuel tax payments owed to Indiana; and
(B) the contractual obligations owed to the racetrack fromwhich the races originated;
shall be determined, subject to the approval of the commission,by one (1) or more contracts between the applicable Indianapermit holders and the applicable horsemen's association.
As added by P.L.24-1992, SEC.28.
IC 4-31-9-2
Purse money
Sec. 2. Each person that holds a permit to conduct a horse racingmeeting or a permit holder licensed to operate a satellite facility shallpay as purse money from the amounts withheld under section 1 ofthis chapter an amount equal to:
(1) eight percent (8%) of the total amount of money wagered onlive races at a permit holder's racetrack; plus
(2) five percent (5%) of the total amount of money wagered onsimulcasts of horse races that originate from a permit holder'sracetrack and are televised at the permit holder's satellitefacilities; plus
(3) on the simulcast of races, for the Indiana sending or Indianareceiving track, the total amount to be paid to purses, afterdeducting:
(A) pari-mutuel tax payments owed to Indiana; and
(B) the contractual obligations owed to the racetrack fromwhich the races originated;
shall be determined, subject to the approval of the commission,by one (1) or more contracts between the applicable Indianapermit holders and the applicable horsemen's association, andthe allocation of this amount between breeds, if applicable,shall be determined by the rules of the commission.
As added by P.L.341-1989(ss), SEC.2. Amended by P.L.24-1992,SEC.29.
IC 4-31-9-3
Taxation of amount wagered each day; computation; distribution
Sec. 3. (a) At the close of each day on which a permit holder orsatellite facility operator conducts pari-mutuel wagering on liveracing or simulcasts at a racetrack or satellite facility, the permitholder or satellite facility operator shall pay to the department ofstate revenue a tax on the total amount of money wagered on that dayas follows:
(1) Two percent (2%) of the total amount of money wagered onlive races and simulcasts conducted at a permit holder'sracetrack.
(2) Two and one-half percent (2.5%) of the total amount ofmoney wagered on simulcasts at satellite facilities, regardlessof whether those simulcasts originate from Indiana or anotherstate.
(b) The taxes collected under subsection (a) shall be paid from theamounts withheld under section 1 of this chapter and shall bedistributed as follows:
(1) The first one hundred fifty thousand dollars ($150,000) oftaxes collected during each state fiscal year shall be depositedin the veterinary school research account established byIC 4-31-12-22.
(2) The remainder of the taxes collected during each state fiscalyear shall be paid into the build Indiana fund. (c) The tax imposed by this section is a listed tax for purposes ofIC 6-8.1-1.
As added by P.L.341-1989(ss), SEC.2. Amended by P.L.24-1992,SEC.30; P.L.26-1996, SEC.1; P.L.186-2002, SEC.9.
IC 4-31-9-4
Repealed
(Repealed by P.L.24-1992, SEC.64.)
IC 4-31-9-5
Taxation of amount collected for admission charge; distribution
Sec. 5. (a) At the close of each day on which pari-mutuelwagering is conducted, each permit holder or satellite facilityoperator shall pay to the department of state revenue a tax equal totwenty cents ($0.20) for each person who paid an admission chargefor the privilege of entering the racetrack grounds or satellite facilityon that day. Separate computations shall be made of the number ofpatrons at each location. If tickets are issued for more than one (1)day, the sum of twenty cents ($0.20) shall be paid for each personusing the ticket on each day that it is used.
(b) Before the fifteenth day of each month, the taxes collectedunder subsection (a) during the preceding month shall be distributedas follows:
(1) Fifty percent (50%) of the taxes shall be distributed in equalshares to the fiscal officers of:
(A) the city, if any;
(B) the town, if any; and
(C) the county;
in which the racetrack is located. The city, town, or county mayuse this money as general fund operating revenues.
(2) Fifty percent (50%) of the taxes shall be deposited in thestate general fund.
(c) The tax imposed by this section is a listed tax for purposes ofIC 6-8.1-1.
As added by P.L.341-1989(ss), SEC.2. Amended by P.L.24-1992,SEC.31.
IC 4-31-9-6
Repealed
(Repealed by P.L.1-1990, SEC.43.)
IC 4-31-9-7
Money wagered on televised simulcasts; racing fees; amount;distribution
Sec. 7. (a) This section does not apply to money wagered onsimulcasts of horse races televised under IC 4-31-7-7.
(b) Each permit holder shall pay a fee after the completion of eachracing meeting. This fee is in addition to the taxes imposed bysections 3 and 4 of this chapter. Except as provided in subsection (c),the amount of this fee is determined as follows: (1) If the total amount of wagering at the racing meeting is lessthan five million dollars ($5,000,000), the fee is one-tenth ofone percent (0.1%) of the total amount wagered.
(2) If the total amount of wagering at the racing meeting is fivemillion dollars ($5,000,000) or more, the fee isfifteen-hundredths of one percent (0.15%) of the total amountwagered.
(c) The fees collected under this section from any one (1) permitholder may not exceed fifteen thousand dollars ($15,000) from anyone (1) horse racing meeting in a calendar year.
(d) Within ten (10) days after the close of each racing meeting, thepermit holder shall forward the fee imposed by this section in equalshares to the fiscal officers of the:
(1) city, if any;
(2) town, if any; and
(3) county;
in which the racing meeting took place. The city, town, or countymay use this money as general fund operating revenues.
As added by P.L.1-1990, SEC.44.
IC 4-31-9-8
Additional taxation by political subdivision; real and personalproperty taxes
Sec. 8. No tax or fee, except as provided in this article, shall beassessed or collected from a permit holder by a political subdivisionhaving the power to assess or collect a tax or fee. This section doesnot apply to real or personal property taxes imposed by a local taxingunit.
As added by P.L.1-1990, SEC.45.
IC 4-31-9-9
Taxation of satellite facility wagers; distribution
Sec. 9. (a) Before January 15 and July 15 of each year, eachpermit holder that operates satellite facilities shall forward to theauditor of state an amount equal to one-half of one percent (0.5%) ofthe total amount of money wagered at that permit holder's satellitefacilities during the six (6) month period ending on the last day of thepreceding month. The auditor of state shall distribute amountsreceived under this section as follows:
(1) Fifty percent (50%) of the amounts received shall bedeposited in the livestock industry promotion and developmentfund established by IC 15-11-5-4.
(2) Fifty percent (50%) of the amounts received shall bedistributed to the state fair commission for use in any activitythat the commission is authorized to carry out under IC 15-13-3.
(b) Payments required by this section shall be made from amountswithheld by the permit holder under section 1 of this chapter.
As added by P.L.24-1992, SEC.32. Amended by P.L.2-2008, SEC.19.
IC 4-31-9-10
Payment of breakage and outs; distribution
Sec. 10. (a) At the close of each day on which pari-mutuelwagering is conducted at a racetrack or satellite facility, the permitholder or satellite facility operator shall pay the breakage from eachof the races on which wagers were taken on that day to the auditor ofstate for deposit in the appropriate breed development fund asdetermined by the rules of the commission.
(b) Not later than March 15 of each year, each permit holder orsatellite facility operator shall pay to the commission the balance ofthe outs tickets from the previous calendar year. The commissionshall distribute money received under this subsection to theappropriate breed development fund as determined by the rules of thecommission.
As added by P.L.24-1992, SEC.33.