For a horse to be a true palomino, it must have a dilution gene. Some
breeds, however, have a chestnut coat that appears golden and it can be
difficult to tell them from palominos. A good example is the Haflinger.
While this breed has a light coat and a brilliant white mane and tail,
it does not carry the dilution gene. Haflingers are genetically chestnut
horses but it is very easy to mistake them for palominos.