23

H.—22

A Totalizator Inspector was present at ever)' meeting held throughout the year. As stated, it is one of the duties of the Totalizator Inspector to see that the correct dividend is paid, but at one meeting a mistake was made, and the dividend was short-paid, anil the error was not delected until after the meeting. The matter was brought under the club's notice, and the Minister directed that the total amount of dividend short-paid—namely, £6.'S 7s. 6d.— be handed over to the local Hospital and Charitable Aid Board, and this the racing club willingly and promptly did. Many of the totalizator-houses are totally inadequate to meet the demands made on (hem by the public. Owing, however, to the difficulty in securing limber and cement, the contemplated improvements to the totalizator-houses have had to stand over until after the present demand for the erection of residences is met. As will be seen from (lie attached return, the sum of £8,702,570 was passed through the totalizator, as compared with £5,732,479 10s. the previous year, an increase of £3,060,090 10s., equal to 53"38 per cent. The investors on the totalizator received back in dividends £7,673,404 ss. The difference (£1,110,165 155.) was disposed of as follows: The Government received £417,654 10s. (id., of which £210,814 ss. represented 21 per cent, on the total investments, and £197,840 ss. (id. was the dividend-lax of (id. in the pound. The clubs received the balance of Ihe £1,119,165 15s.—namely, £701.511 4s. (id.--which is made up of £650,442 155., being 7!, per cent, of the totalizator turnover, and £42,068 os. (id. fractions. During the year racing clubs gave in stakes £408,385, and trotting clubs £9-8,840, making a total of £502,225 paid in stakes, as compared with £383,070 for ihe previous year. The average stake per race paid by racing clubs works out at £22058, and by trotting clubs £20677. In addition to the above figures racing clubs gave cups, bracelets, and plate to the value of £2,330, and trotting clubs £576. The i-per-eent. tax paid to the Government on the stakes given amounted to £5,022 ss. In addition to the £5,022 ss. tax on ihe slakes and the £417,654 10s. (id. totalizator-tax paid to the Government by racing and trotting clubs, those clubs also pay 2J per cent, tax on entrance fees, sale of privileges, &c, amusement-tax on entrance tickets, as well as land-In x and income-tax. Last year I drew attention to the large sum the fraotions amounted to —namely, £27,457 14s. 6d.—and expressed the opinion that clubs had no just claim to retain such fractions. My remarks evoked much criticism, but not one sound argument was adduced as to why clubs should be allowed to retain them. This year the fractions amounted t0.£42,068 !)s. 6d., an average of £148 2s. (id. per day of racing. 1 would suggest that such fractions be handed over to the Sinking Fund Commissioners, to be used by those gentlemen to purchase Government securities whenever they fall below par and cancel, same, thus reducing the public debt. In conclusion, I desire to thank clubs for the many courtesies extended to myself and my deputies when attending their meetings. P. J. Kelleiier, Inspector of Totalizators. The Under-Secretary, Department of Internal Affairs, Wellington.