Betting and Gaming Duties Act 1981

Part II U.K. Gaming Duties

Gaming licence dutyU.K.

F113. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F214. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F315. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F416. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

Bingo dutyU.K.

17 Bingo duty.U.K.

(1)A duty of excise, to be known as bingo duty, shall be charged on the playing of bingo in [F6the United Kingdom] except in the cases specified in Part I of Schedule 3 to this Act.

(2)Bingo duty shall be charged in respect of bingo played in a particular week; and the amount of the duty shall be—

(a)10 per cent. of the total of the money taken [F7if any] by or on behalf of the promoter in that week as payment by players for their cards, plus

(b)(subject to section 19(1) below) one ninth of the amount (if any) by which that total, after deduction of the 10 per cent. chargeable under paragraph (a) above, is exceeded by the total value of the prizes won in that week’s bingo.

(3)For the purposes of this section, a player’s “cards” are the sets of numbers or symbols (in whatever form or lay-out) with which he plays bingo, matching them against calls made by the house; and a player pays for a card when he gives money in exchange for, or for the use of, a particular card, whether it is appropriated to a particular game or can be appropriated by the player to a game of his choice.

18 Payment and recovery of bingo duty.U.K.

(1)Bingo duty shall be paid by the promoter of the bingo.

(2)Bingo duty shall be recoverable jointly and severally from all or any of the following persons—

(a)the promoter;

(b)any person who took money as payment by players for cards or paid prizes to players;

(c)any person who was responsible for the management of the premises on which bingo was played;

(d)where any person within paragraph (a), (b) or (c) above is a company, any director of the company.

19 Play in more than one place.U.K.

(1)Where bingo is promoted at one place and, for the purpose of a particular game, it is combined with bingo played at another place and promoted by another person, so that the players at both places share in the chance of winning a prize contributed partly by one promoter and partly by the other, then for the purposes of the charge to bingo duty under section 17(2)(b) above—

(a)as against the promoter of the bingo at the place where the prize is won there shall be counted so much only of the value of the prize as represents his contribution, and

(b)so much of the value of the prize as represents the contribution of the other promoter shall be counted as a prize won at bingo promoted by him;

and where the prize is provided wholly by or on behalf of one of the promoters concerned, its whole value shall be counted against him under section 17(2)(b), wherever it is won.

(2)It shall not be lawful for a game of bingo, being bingo which is chargeable with bingo duty and is promoted at a place in [F8the United Kingdom], to be combined as mentioned in subsection (1) above with other bingo played elsewhere than in [F8the United Kingdom], except where the other bingo is played in . . . F9 the Isle of Man and is chargeable, under an Act of . . . F9 Tynwald, with duty corresponding to bingo duty and at a rate not less than that which is chargeable under section 17 above.

20 Supplementary provisions as to bingo duty.U.K.

(1)The provisions of Part II of Schedule 3 to this Act (supplementary provisions as to bingo duty) shall have effect.

(2)In sections 17 to 19 above and in Schedule 3 to this Act—

• “bingo” includes any version of that game, by whatever name called;

• . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F10

• “money” includes any token, voucher or other object given by a player in exchange for cards and recognised for the purpose of the exchange to represent a particular sum of money;

• “prize” means anything won or to be won at bingo, whether money or something else having a value, and “value” and “paid”, in relation to prizes, shall be construed accordingly;

• “the promoter”, in relation to bingo, means the person to whom the players look for the payment of prizes, and “promote” and “promotion” shall be construed accordingly: and

• [F11“United Kingdom” includes the territorial waters of the United Kingdom;]

• “week” means a period of seven days beginning with Monday.

(3)In proceedings relating to bingo duty under the customs and excise Acts an averment in any process that a particular game is a version of bingo shall, until the contrary is proved, be sufficient evidence that it is so.

Gaming machine licence dutyU.K.

[F1221 Gaming machine licence duty.U.K.

(1)Except in the cases specified in Part I of Schedule 4 to this Act, no [F13amusement machine]] (other than [F14an excepted machine]) shall be provided [F15for play] on any premises situated in [F16the United Kingdom] unless there is for the time being in force [F17a licence granted under this Part of this Act with respect to the premises [F18or the machine].

(2)Such a licence shall be known as [F19an amusement machine licence][F20and, if it is granted with respect to a machine, rather than with respect to premises, as a special amusement machine licence.]]

[F21(3)[F22An amusement machine licence]may be granted for a period of a month, or of any number of months not exceeding twelve, beginning on any day of any month]

[F23(3AA)A special amusement machine licence shall not be granted except where—

(a)the machine with respect to which it is granted is of a description of machine for which special amusement machine licences are available;

(b)such conditions as may be prescribed by regulations made by the Commissioners are satisfied in relation to the application for the licence, the machine and the person by whom the application is made; and

(c)the licence is for twelve months.

(3AB)Special amusement machine licences shall be available for amusement machines of each of the following descriptions—

(a)machines that are not gaming machines; and

(b)small prize machines.]

[F24(3A)For the purposes of this section an excepted machine is—

(a)a two-penny machine, or

[F25F26(b)a [F27ten-penny machine]] which is a small prize machine; or

[F25(c)a fifty-penny machine that is not a gaming machine.]]

[F28(3B)For the purposes of this section an amusement machine is a fifty-penny machine if, and only if—

(a)where it is a machine on which a game can be played solo, the price for a solo game does not exceed 50p; and

(b)where it is a machine on which a game can be played by more than one person at a time, the price to participate in such a game does not exceed 50p.]

(3C)For the purposes of this section the price for a solo game on a machine does not exceed [F2950p] if the denomination or aggregate denomination of the coin or coins that must be inserted into the machine to play the game solo does not or, where the machine provides differing numbers of games in different circumstances, cannot exceed [F2950p] for each time the game is played.

(3D)For the purposes of this section the price to participate in a game on the machine for two or more players does not exceed 50p if the denomination or aggregate denomination of the coin or coins that must be inserted into the machine to play the game simultaneously with more than one player does not exceed or, where the machine provides differing numbers of games in different circumstances, cannot exceed 50p per player for each time the game is played.

(3E)For the purposes of this section a game is played solo if it is played by one person at a time (whether or not against a previous player).

(4). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F3021A.—. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .U.K.

22 Gaming machine licence duty.U.K.

(1)A duty of excise shall be charged on [F31amusement machine] licences and the duty on a licence shall be determined [F32in accordance with section 23 below]

[F33(2)For the purposes of this Act

[F34(a)][F35an amusement machine is a small-prize machine if it is a prize machine and] the value or aggregate value of the benefits in money or money’s worth, which any player who is successful in a single game played by means of the machine may receive, cannot exceed [F36£8]

[F37(b)an amusement machine is a medium-prize machine if it is a prize machine and the value or aggregate value of the benefits in money or money’s worth, which any player who is successful in a single game played by means of the machine may receive, can exceed £8 but cannot exceed [F38£25].]

(3)The Commissioners may by order substitute for [F39a sum] for the time being mentioned in subsection (2) above such higher sum as may be specified in the order, with effect from a date so specified.]

F40(5). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F41

[F4223 Amount of duty.U.K.

(1)The amount of duty payable on [F43an amusement machine licence]] shall be—

(a)the appropriate amount for the machine which it authorises, or

(b)if it authorises two or more machines, the aggregate of the appropriate amounts for each of those machines.

(2)The appropriate amount for each machine shall be determined in accordance with the following Table by reference to—

(a)the period for which the licence is granted, and

(b)whether the machine falls within [F44Category A, Category B, Category C, Category D or Category E],

and references in this Part to a rate of [F45amusement] machine licence duty are references to [F46the rate for the category of machine in question in column 2, 3, 4, 5 or 6 of the Table]

[F50(3)The machines comprised in each category referred to in this section are as follows—

Category A: any machine which is not a gaming machine;

Category B: any gaming machine which is a small-prize machine or five-penny machine;

Category C: any gaming machine which is a medium-prize machine, unless it is also a five-penny machine;

Category D: any gaming machine which is a ten-penny machine, unless it is also—

(a)a five-penny machine,

(b)a small-prize machine, or

(c)a medium-prize machine;

Category E: any machine which is not in any other category.]

24 Restrictions on provision of gaming machines.U.K.

(1). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F51

F52(2). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3)[F53Amusement machines] chargeable at a particular rate shall not be provided on any F54. . . premises in excess of the number authorised by the licence [F55or licences] authorising the provision of [F56amusement machines] chargeable at that rate F57. . ..

(4)Where a licence which authorises the provision of [F56amusement machines] chargeable at one rate only is in force in respect of any F54. . . premises, [F56amusement machines] chargeable at any other rate shall not be provided [F58for play] on those premises unless another licence authorising the provision of [F56amusement machines] chargeable at that other rate is also in force in respect of the premises [F59or there are special licences in force with respect to those machines][F60or the machines].

(5)If any [F61amusement machine] is provided for gaming on any premises in contravention of [F62section 21(1) above or] this section, [F63the provision of the machine shall attract a penalty under section 9 of the Finance Act 1994 (civil penalties) and, for the purposes of the application of that section to the conduct attracting the penalty, the provision of the machine shall be treated as the conduct of each of the persons who, at the time when the [F61amusement machine] is provided]—

(a)is the owner, lessee or occupier of the premises, or

(b)is for the time being responsible to the owner, lessee or occupier for the management of the premises, or

(c)is a person responsible for issuing or exchanging coins or tokens for use in playing any gaming machine on the premises, or otherwise for controlling the use of any such machine, or

(d)is for the time being responsible for controlling the admission of persons to the premises or for providing persons resorting thereto with any goods or services, or

(e)is the owner or hirer of the machine, or

(f)is a party to any contract under which [F64an][F61amusement machine] may, or is required to, be on the premises at that time,

F65. . .

(6)If any [F61amusement machine] is provided [F58for play] on any premises in contravention of [F62section 21(1) above or] this section and any such person as is mentioned in subsection (5) above knowingly or recklessly brought about the contravention or took any steps with a view to procuring it he shall be guilty of an offence and liable—

[F66(a)on summary conviction to a penalty—

(i)of the prescribed sum, F67. . ., or to imprisonment for a term not exceeding six months or to both such penalty and imprisonment;]

(b) on conviction on indictment to a penalty of any amount or to imprisonment for a term not exceeding two years or to both.

[F6824A Unlicensed machines: duty chargeable.U.K.

Schedule 4A to this Act (which provides for the recovery of amusement machine licence duty in relation to unlawfully unlicensed machines) shall have effect.]

25 Meaning of “gaming machine”.U.K.

[F69(1)A machine is an amusement machine for the purposes of this Act if—

(a)the machine is constructed or adapted for the playing of any game (whether a game of chance, a game of skill or a game of chance and skill combined);

(b)the game is one played by means of the machine (whether automatically or by the operation of the machine by the player or players);

(c)a player pays to play the game (except where he has an opportunity to play without payment as a result of having previously played successfully) either by inserting a coin or token into the machine or in some other way;

(d)the machine automatically—

(i)applies some or all of the rules of the game or displays or records scores in the game; and

(ii)determines when a player who has paid to play a game by means of the machine can no longer play without paying again;

and

(e)the machine is a gaming machine, a video machine or a pinball machine.

(1A)A machine constructed or adapted for the playing of a game is a gaming machine for the purposes of this Act if—

(a)it is a prize machine;

(b)the game which is played by means of the machine is a game of chance, a game of chance and skill combined or a pretended game of chance or of chance and skill combined; and

(c)the outcome of the game is determined by the chances inherent in the action of the machine, whether or not provision is made for manipulation of the machine by a player;

and for the purposes of this subsection a game in which the elements of chance can be overcome by skill shall be treated as a game of chance and skill combined if there is an element of chance in the game that cannot be overcome except by superlative skill.

(1B)A machine constructed or adapted for the playing of a game is a video machine for the purposes of this Act if—

(a)a micro-processor is used to control some or all of the machine’s functions; and

(b)the playing of the game involves information or images being communicated or displayed to the player or players by means of any description of screen F70. . ..

(1C)For the purposes of this Act an amusement machine is a prize machine unless it is constructed or adapted so that a person playing it once and successfully either receives nothing or receives only—

(a)an opportunity, afforded by the automatic action of the machine, to play again (once or more often) without paying, or

(b)a prize, determined by the automatic action of the machine and consisting in either—

(i)money of an amount not exceeding the sum payable to play the machine once, or

(ii)a token which is, or two or more tokens which in the aggregate are, exchangeable for money of an amount not exceeding that sum.]

[F71(4)Subject to subsection (5) below, for the purposes of determining whether a machine is [F72a machine of any description]][F73other than [F74a fifty-penny machine within section 21(3B) above]] it is immaterial whether it is capable of being played by only one person at a time, or is capable of being played by more than one person.

[F75(5)For the purposes of sections 21 to 24 above a machine (the actual machine) in relation to which the number determined in accordance with subsection (5A) below is more than one shall be treated (instead of as one machine) as if it were a number of machines (accountable machines) equal to the number so determined.

(5A)That number is—

(a)except where paragraph (b) below applies, the number of individual playing positions provided on the machine for persons to play simultaneously (whether or not while participating in the same game); and

(b)where—

(i)that machine is a video machine but not a gaming machine, and

(ii)the number of such playing positions is more than the number of different screens used for the communication or display of information or images to any person or persons playing a game by means of the machine,

the number of such screens.

(6)Subsection (5) above does not apply [F76for the purpose of determining whether a machine is [F74a fifty-penny machine within section 21(3B) above] , or in the case of a pinball machine or a machine that is an excepted machine]].

(7)Any question whether the accountable machines are, or are not, machines falling within any of the following descriptions, that is to say—

(a)gaming machines,

(b)prize machines,

(c)small-prize machines, F77. . .

[F78(cc)medium-prize machines,

(cd)ten-penny machines, or]

(d)five-penny machines,

shall be determined according to whether or not the actual machine is a machine of that description, with the accountable machines being taken to be machines of the same description as the actual machine.

25A Power to modify definition of “amusement machine”.U.K.

(1)The Treasury may by order modify the provisions of section 25 above—

(a)by adding to the machines for the time being specified in subsection (1)(e) of that section any description of machines which it appears to them, having regard to the use to which the machines are put, to be appropriate for the protection of the revenue so to add to those machines; or

(b)by deleting any description of machines for the time being so specified.

(2)An order under this section may make such incidental, consequential or transitional provision as the Treasury think fit, including provision modifying section 21 or section 25(5A) above for the purpose of—

(a)specifying the circumstances (if any) in which a machine added to section 25(1)(e) above is to be an excepted machine for the purposes of section 21 above; or

(b)determining the number which, in the case of a machine so added, is to be taken into account for the purposes of section 25(5) above.

26 Supplementary provisions as to gaming machine licence duty.U.K.

(1)The provisions of Part II of Schedule 4 to this Act (supplementary provisions as to [F79amusement machine licence duty]) shall have effect.

(2)In sections 21 to 25 above and in Schedule 4 to this Act—

• “coin” means coin lawfully current in the United Kingdom;

• [F80“United Kingdom” includes the territorial waters of the United Kingdom;

• [F81“video machine” has the meaning given by section 25(1B) above;

• “prize machine” has the meaning given by section 25(1C) above;]

• “small-prize machine” has the meaning given by section 22(2) above.]

• [F82“two-penny machine” means [F83an amusement machine] which can only be played by the insertion into the machine of a coin or coins of a denomination, or aggregate denomination, not exceeding 2p]

• [F84“five-penny machine” means [F83an amusement machine] which can only be played by the insertion into the machine of a coin or coins of a denomination, or aggregate denomination, not exceeding 5p; and]

• [F85“ten-penny machine” means an amusement machine which can only be played by the insertion into the machine of coins of a denomination, or aggregate denomination, not exceeding 10p;.]

• F86. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• “premises” includes any place whatsoever and any means of transport.

[F87(2A)References in sections 21 to 25 above and in this section and Schedule 4 to this Act to a game, in relation to any machine, include references to a game in the nature of a quiz or puzzle and to a game which is played solely by way of a pastime or against the machine, as well as one played wholly or partly against one or more contemporaneous or previous players.]

(3)A machine is provided [F88for play] on any premises if it is made available on those premises in such a way that persons resorting to them can play it; and [F89subject to subsection (3A) below] where on any premises one or more [F90amusement machines] are so made available, any such machine anywhere on the premises shall be treated as provided [F88for play] on those premises, notwithstanding that it is not so made available or is not in a state in which it can be played.

[F91(3A)The Commissioners may by regulations make provision for the purpose of enabling spare [F90amusement machines] to be kept on premises for use in the case of the breakdown of other [F90amusement machines] on those premises: and such regulations may provide that, in such circumstances and subject to such conditions as may be specified in the regulations, [F83an amusement machine] on any premises which is not made available as mentioned in subsection (3) above, or is not in a state in which it can be played, shall not be treated by virtue of that subsection as provided [F88for play] on those premises.]

[F92(4) Where the game playable by means of [F83an amusement machine] can be played more than once for the insertion of a coin or coins of a denomination, or aggregate denomination, exceeding any sum in pence mentioned in F93. . . subsection (2) above, the machine is to be treated for the purposes of [F94that provision] as if it can only be played by the insertion into it of a coin of a denomination not exceeding that sum if, in effect, the amount payable to play the game once does not exceed that sum or, where the machine provides differing numbers of games in differing circumstances, cannot exceed that sum.]