The State Board of Equalization shall make such reasonable rules and regulations and prepare such forms as are necessary to carry out the intent and purposes of this part.
Taxation of RacehorsesAdministration
Section § 5781
This law section empowers the State Board of Equalization to create the rules, regulations, and forms needed to implement the objectives of this part of the law effectively.
State Board of Equalization rules and regulations prepare forms
Section § 5782
If you own a racehorse in California, you need to report the tax you owe using forms from the assessor's office. This can be done in person, by your representative, or by mail. File your report with the county's tax collector where your racehorse is based. Make sure to file by 5:00 p.m. on the day the tax is due to avoid being late.
On forms provided through the office of the assessor, the owner of a racehorse either in person, through his representative or by mail, shall report the tax due. The reports required by this section may be filed with the tax collector of the county in which the racehorse had its domicile. The reports shall be filed on or before 5:00 p.m. on the day the tax due becomes delinquent.
racehorse tax tax reporting assessor forms
Section § 5783
This law states that when a report is filed in a county, the county auditor must transfer any taxes that belong to another county, as indicated in the report. The auditor should also send a copy of the report so that the receiving county's auditor can properly allocate the transferred funds according to specific procedures.
The auditor of the county in which a report is filed shall transfer any taxes paid pursuant to this part belonging to another county as shown on the report, together with a copy of the report, in order that the auditor of any county receiving transferred funds can allocate them in the manner provided for in Section 5790.
county auditor tax transfer report filing
Section § 5790
This law explains how money from taxes, interest, and penalties related to racehorses should be split up. If a racehorse is located in a city and a school district, the funds are divided equally between the city, school district, and county. If the horse is outside of a city but within school districts, the money is split equally between the school district(s) and the county. If the horse is in both an elementary and a high school district, funds for schools are split evenly between these two types of districts, excluding other districts.
The county auditor is responsible for figuring out the specifics of this allocation while ensuring the law’s intent is met.
All proceeds derived from the tax, interest, and penalties imposed by this part shall be allocated by the auditor as promptly as is feasible in the following manner:
(a)CA Revenue & Taxation Code § 5790(a) If the domicile of the racehorse was located within a city and any school district, the proceeds from such racehorse shall be distributed one-third to the city, one-third to the school district, and one-third to the county.
(b)CA Revenue & Taxation Code § 5790(b) If the domicile of the racehorse was located outside of any city but was located within one or more school districts, the proceeds from such racehorse shall be distributed one-half to the school district or districts and one-half to the county.
(c)CA Revenue & Taxation Code § 5790(c) If the domicile of the racehorse was located in both an elementary school district and a high school district, the proceeds allocable to school districts shall be divided equally between the elementary and high school districts to the exclusion of all other school districts.
The details of the method of allocation shall be supplied by the county auditor, and shall fairly carry out the purposes of this section.
racehorse tax allocation city school district distribution county auditor responsibility
