Prime Minister, PJ Patterson told racehorse fans and industry players, on Saturday, that Cabinet recently approved changes to the tax regime applicable to the importation and sale of racehorses, to boost the horse breeding sector.
These incentives include:
A five-year moratorium on the collection of the 30 per cent customs duty on the importation of racehorses that are not for breeding.
The removal of General Consumption Tax from the sale of horses.
Mr. Patterson also noted that horse breeders would continue to benefit from income tax relief under the Income Tax Act.
"The new measures should play a significant role in ensuring the importation of good racing stock and the sale of locally bred horses at prices which allow stud farms to at least break even," the Prime Minister said.
Announcement of the incentives came against the background of what Mr. Patterson said, was a decline in the number and quality of horses available for racing.
Importation of horses has fallen from 279 in 1998 to 27 up to the end of March this year while the number of horses imported for racing fell from 30 in 1998 to four up to March this year.