Throwing snowballs off a Horse works fine, but at some point something seems to go wrong with the Horses hitbox.
You can't throw a Snowball in any direction without breaking it instantly
Even dismounting and mounting again doesn't fix the issue.
To reproduce (if it isnt already broken when mounting the first time)
try spamming some snowballs while walking forward (of course while riding on the horse ^^). shouldnt take too long..
This may be not a big issue but for me it is, because im doing some commandblock magic over here ^^ and i cant find any other way to do it
EDIT: I did some further testing.
once the Horse is "broken" you can't even throw snowballs standing 1 block away from it's hitbox
(also trowing snowballs closely over the hitbox spawns broken-snowball-particles but the snowball keeps flying)
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Possibly related to MC-417

The same thing applies to minecarts. When traveling in a minecart throwing snowballs, the snowball will break on the minecart hitbox or break the minecart itself.

Yeah basically every Entity you can ride.
pigs too..
Confirmed for 15w39c
This issue may be relates to MC-88491
Confirmed for 15w40a
Confirmed for 15w41b
Confirmed for 15w42a
Confirmed for 15w43a
Confirmed for 15w44a
Confirmed for 15w46a
Also affect boat, minecart, pig.
Confirmed for 16w04a

This is also happening with mine carts as well in the 1.9 update. Also eggs can not be thrown from horses either.

The enviroment is supposed to contain pc details
This issue may be duplicates MC-88491.
Since the horse also is entities.

Already marked as related, so doesn't matter too much.

Is this still an issue in the most recent versions (currently that is 1.10.2, or 16w43a) of Minecraft? If so, please update the affected versions and help us keeping this ticket updated from time to time. If you are the owner/reporter of this ticket, you can modify the affected version(s) yourself.
Cannot reproduce in 17w48a.
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This bug got fixed in a 1.13 snapshot.