California Code of Regulations
Title 18 - Public Revenues
Division 1 - State Board of Equalization-Property Tax (California Department of Tax and Fee Administration - Timber Yield Tax, See Chapter 11)
Chapter 12 - Racehorse Tax
Section 1046 - Horses Subject to AD Valorem Taxation
Current through Register 2024 Notice Reg. No. 38, September 20, 2024
A horse over three years of age, or over four years of age in the case of an Arabian horse, that, in the two previous calendar years, has neither participated in a horserace contest on which parimutuel wagering is permitted nor been used for breeding purposes in order to produce a racehorse eligible to participate in a horse race contest on which parimutuel wagering is permitted is not a racehorse within the meaning of part 12 of division 1 of the Revenue and Taxation Code. Any such horse is subject to ad valorem taxation unless otherwise exempt.
(a) A horse used for breeding purposes means a registered male animal that has serviced three or more registered females for the purpose of producing a racehorse during the two previous calendar years or a registered female animal that has been bred to a registered male for the purpose of producing a racehorse during the two previous calendar years.
(b) In order to qualify as a racehorse a horse must be registered or eligible to be registered with an agency recognized by the California Horse Racing Board. Agencies currently recognized are as follows:
| Agency | Breed | |
| The Jockey Club.......................... | ..........................Thoroughbred | |
| The American Quarter Horse Association.......................... | ..........................Quarter Horse | |
| The United States Trotting Association.......................... | ..........................Standardbred | |
| The Appaloosa Horse Club.......................... | ..........................Appaloosa Horse | |
| The Arabian Horse Registry of America.......................... | ..........................Arabian Horse |
1. New section
filed 11-1-72; effective thirtieth day thereafter (Register 72, No.
45).
2. Amendment to subsection (b) filed 5-2-74; effective
thirtieth day thereafter (Register 74, No. 18).
3. Amendment filed
8-27-87; operative 9-26-87 (Register 87, No.
35).
Note: Authority cited: Section 15606, Government Code; and Section 5781, Revenue and Taxation Code. Reference: Sections 5703, 5710, 5711 and Part 12, Division 1, Revenue and Taxation Code; and Sections 19409, 19413.5, 19416, 19416.5 and 19416.7, Business and Professions Code.
