States challenged on stallion levy

Published by HarnessLink 11 August 2025

With Victoria ruling out collection of the much-maligned harness racing Stallion Tax this breeding season, pressure is mounting on other State bodies to declare their position on the controversial breeding levy. State bodies are being urged to clear up their positions on the Stallion Tax

Benstud Standardbreds principal Craig Judd, a vocal opponent of the tax, is calling on breeders and studs to be proactive in demanding answers – particularly from New South Wales and Queensland.

“We need to contact our state representatives on the HRA board and insist on being heard,” Judd said.

“Ask them what their state’s position is on the tax. We are entitled to know, and after months of campaigning, it’s become the million-dollar question.”

The levy was introduced to part-fund The Eureka, the world’s richest harness race. Although the levy appears set to collapse, Judd warns it’s unlikely to happen before the industry is hit with another year’s charges.

“To be clear, I’m not against The Eureka. I’m against the stallion tax that is funding it,” Judd said.

When Harnesslink reported two weeks ago that Harness Racing Australia CEO Andrew Kelly had resigned amid signs of a behind-the-scenes revolt by key states over the levy, Queensland, NSW and Victoria were all believed to be on the brink of refusing to collect the tax this breeding season. Victoria has since confirmed its stance – but the other states have remained silent. Judd says the targets for boosting ownership, wagering turnover, breeding numbers, and yearling sale prices haven’t been met, and the tax is the straw that’s broken the camel’s back for an industry already under pressure.

“Breeding numbers will be down by at least 25 percent this year. If this is correct, the breeding population will be down by more than 50 percent since the introduction of the tax,” he said.

“Wagering targets have fallen significantly short, yearling sale prices have not increased, and there’s no evidence of greater involvement by new owners.”

Judd warns the risk now is that the tax will simply roll on by default into a fourth year, despite the original agreement being for three.

“Their plan is to collect a fourth year of tax and only then discuss the future of the race at the HRA AGM in April 2026,” he said.

“Where is that fourth year of the tax going? That’s the question. And right now, the other states aren’t answering.”

With the breeding season just weeks away, Judd says the industry’s largest broodmare base in Victoria and New South Wales is already drastically reduced.

“I’m a passionate lover of harness racing and like many of us, this passion has become my livelihood. The decisions made by the leaders in our industry are having a profound impact on the future of our industry,” he said.

“At this stage, no state has agreed to host The Eureka in its current format or funding model. Their plan is to collect a fourth year of tax for what was a three-year agreement, then discuss the future.”

Judd has urged breeders and owners in NSW, Queensland, SA, Tasmania and WA to push back and directly lobby their state representatives.

“We now call upon breeders in those states to demand to contact their individual HRA board members and pressure them to confirm they will vote no with Victoria,” Judd said.

“I and numerous others have tried to formally and respectfully advise, lobby, and convince our decision makers about the seriousness of this situation and the detrimental effects that this tax has – but the silence is deafening. All I get is the April 2026 meeting, and that’s a bridge too far,” he said.

Benstud has already withdrawn its industry sponsorship until the levy is removed, and is rewarding Victoria’s decision to formally reject the Stallion Tax from 2025/26 and beyond by focusing its breeding activity in Victoria.

“We need the other states to get off the fence. It’s time to take the gloves off,” Judd said.

HRA representatives are: NSW – Ken Brown; Qld – Jodie Jones; Tasmania – Neil Grose; South Australia – Dr Carlos D’ortenzio; Western Australia – David Hunter.