5-111.01. Breakage; definition; tax; disposition
164 words·~1 min read·
/az/title-5/5-111-01A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
A. The term "breakage" means the odd cents by which the amount payable on each dollar wagered in a pari-mutuel pool exceeds a multiple of ten cents, except that in the case of minus pools breakage means the odd cents by which the amount payable exceeds a multiple of five cents. A person licensed under this chapter to conduct a racing meeting shall deduct the breakage from the pari-mutuel pool and such amounts shall be distributed as provided by law.
B. The breakage deducted by a horse racing or harness racing permittee shall be distributed as follows:
1. Fifty per cent shall be retained by the permittee.
2. Twenty-five per cent shall be retained by the permittee and used to supplement the general purse structure.
3. Twenty-five per cent shall be retained by the permittee to supplement purses in races in which Arizona bred horses are winners.
C. The breakage deducted by a dog racing permittee shall be retained by the dog racing permittee.