It means Canberra's racing industry continues to miss out on getting a cut of the $14.99 million the tax brings in annually.

In every other jurisdiction, the tax - which takes 15 per cent of all bets made in the ACT - is partially refunded to the racing industry.

That ranges from the 20 per cent NSW Racing receives back, to the massive 80 per cent the industry receives in Tasmania.

It's believed Canberra Racing would be happy receiving 20 per cent - the same return as NSW.

That would be a $3 million boost to Thoroughbred Park every year, which would be a much-needed boost after Canberra Racing was forced to relocate their meetings across the border to Queanbeyan when the lockdown closed the borders to essential staff like jockeys.

The ACT government introduced the tax, which they call the betting operations tax, at the start of 2019, bolstering their coffers by almost $30 million in nearly two years.

It's believed betting turnover on this year's Melbourne Cup and Cox Plate hit record levels as the nation starts to emerge from the coronavirus pandemic, potentially boosting the government's revenue in the process.

NSW has used the funding generated by the relatively new tax to ramp up their prize money to the point where they now have the two richest races in Australia - the $15 million Everest and the $8 million Golden Eagle.

It's also made it hard for Canberra Racing to keep up with the prize money on offer across the border in country NSW, which has also benefited from the growth in funding.

The ACT government and Canberra Racing are currently in the process of negotiating a new memorandum of understanding, which contains the funding model for the industry in the capital.

But the government said they had no plans to distribute any of their betting operations tax back to the racing industry.

They felt their current model gave the Canberra racing industry a more reliable revenue stream than other states had.

The current MOU runs out in June 2022.

"The Canberra Racing Club and the Canberra Harness Racing Club receive a substantial level of direct budget funding every year as part of a memorandum of understanding," an ACT government spokesperson said.

"This provides the ACT racing industry with greater financial certainty compared to counterparts in other jurisdictions and there are no plans to change this.

"The betting operations tax contributed $14.99 million to ACT government revenue in 2020-21."