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Finance Bill
Part 1 — Excise duties

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                  (a)                 it does not satisfy subsection (3)(a) and (b), or

                  (b)                 its use as described in subsection (3)(a) is subject to a specified

restriction, condition or limitation which may make the value of

the voucher to the recipient significantly less than the amount

mentioned in subsection (3)(b).

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           (5)           In the case of a prize which—

                  (a)                 is neither money nor a voucher, and

                  (b)                 does not fall within subsection (2),

                         the value of the prize for the purpose of subsection (1) is—

                    (i)                   the amount which the prize would cost the promoter if

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obtained from a person not connected with him, or

                    (ii)                  where no amount can reasonably be determined in

accordance with sub-paragraph (i), nil.

           (6)           For the purpose of this section—

                  (a)                 a reference to connection between two persons shall be

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construed in accordance with section 839 of the Income and

Corporation Taxes Act 1988 (connected persons), and

                  (b)                 an amount paid by way of value added tax on the acquisition of

a thing shall be treated as part of its cost (irrespective of whether

or not the amount is taken into account for the purpose of a

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credit or refund).

       20A            Combined bingo

           (1)           A game of bingo is “combined bingo” if—

                  (a)                 it is multiple bingo within the meaning of section 1 of the

Gaming (Bingo) Act 1985, or

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                  (b)                 it is played in more than one place and promoted by more than

one person.

           (2)           Payments made in respect of entitlement to participate in combined

bingo shall be treated for the purposes of section 19(1) as bingo receipts

only of the first promoter to whom (or at whose direction) they are

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paid.

           (3)           Where money representing stakes hazarded at combined bingo is paid

in an accounting period by one promoter of the bingo (“the first

promoter”) to another (“the second promoter”)—

                  (a)                 the money shall not be treated as a bingo receipt of the second

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promoter for the purposes of section 19(1),

                  (b)                 the payment shall be treated as expenditure of the first

promoter on bingo winnings for the accounting period for the

purposes of section 20(1), and

                  (c)                 no subsequent payment of all or part of the money shall be

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treated as expenditure on bingo winnings for the purposes of

section 20(1) (whether paid by the second promoter to another

person, by the first promoter having received it from the second

promoter, or otherwise).

           (4)           Subsections (2) and (3) shall apply only where the combined bingo is

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played entirely in the United Kingdom.

 

 

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Part 1 — Excise duties

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       20B               Carrying losses forward

           (1)           Where the calculation of a person’s bingo promotion profits for an

accounting period results in a negative amount (“the loss”)—

                  (a)                 no bingo duty shall be chargeable in respect of that accounting

period, and

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                  (b)                 for the purpose of section 17(3), the amount of the person’s

expenditure on bingo winnings for the next accounting period

shall be increased by the amount of the loss.

           (2)           Subsection (1) applies to an accounting period whether or not the loss

results wholly or partly from the previous application of that

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subsection.

       20C               Supplementary

           (1)           Part 2 of Schedule 3 to this Act (bingo duty: supplementary) shall have

effect.

           (2)           In sections 17 to 20B above, this section and Schedule 3—

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                                  “bingo” includes any version of that game, whatever name it is

called,

                                  “licensed bingo” means bingo played at premises licensed

under—

                        (a)                        the Gaming Act 1968, or

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                        (b)                        Chapter II of Part III of the Betting Gaming, Lotteries

and Amusements (Northern Ireland) Order 1985,

                                  “prize” means anything won at bingo, and

                                  “United Kingdom” includes the territorial sea of the United

Kingdom.

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           (3)           For the purposes of those provisions, except in relation to combined

bingo, the promoter of a game of bingo is—

                  (a)                 in the case of licensed bingo, the holder of the licence, and

                  (b)                 in the case of non-licensed bingo, the person who provides the

facilities for the game.

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           (4)           For the purposes of those provisions in relation to combined bingo a

person promotes a game of bingo if he is wholly or partly responsible

for organising it or for providing facilities for it.

           (5)           In those provisions a reference to entitlement to participate in a game

of bingo includes a reference to an opportunity to participate in a game

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of bingo in respect of which a charge is made (whether by way of a fee

for participation, a stake, or both).

           (6)           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

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is.”.

     (2)    In paragraph 1 of Schedule 3 to the Betting and Gaming Duties Act 1981 (c. 63)

(bingo duty: exemptions: domestic bingo) for “Bingo duty shall not be charged

in respect of” substitute “In calculating liability to bingo duty no account shall

be taken of”.

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     (3)    For paragraph 2 of Schedule 3 to the Betting and Gaming Duties Act 1981 (c. 63)

 

 

Finance Bill
Part 1 — Excise duties

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(bingo duty: exemptions: small-scale bingo) substitute—

“Small-scale bingo

        2               (1)                This paragraph applies where entitlement to participate in non-

licensed bingo depends on a person’s being—

                    (a)                   a member of a group or organisation,

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                    (b)                   a guest of a member of a group or organisation, or

                    (c)                   a guest of a group or organisation.

                       (2)                                Payments in respect of entitlement to participate in the non-licensed

bingo shall not be brought into account in relation to any person for

the purpose of section 19.

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                       (3)                                Winnings at the non-licensed bingo shall not be brought into account

in relation to any person for the purpose of section 20.

        2A               (1)                In the case of non-licensed bingo to which paragraph 2 does not

apply—

                    (a)                   payments in respect of entitlement to participate in the non-

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licensed bingo shall not be brought into account in relation to

any person for the purpose of section 19 (subject to sub-

paragraphs (2) to (5) below), and

                    (b)                   winnings at the non-licensed bingo shall not be brought into

account in relation to any person for the purpose of section 20

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(subject to sub-paragraphs (2) to (5) below).

                       (2)                                If on a day winnings at non-licensed bingo promoted by a person

exceed £500, sub-paragraph (1) shall not apply in relation to the

person in respect of the accounting period in which that day falls and

the next two accounting periods.

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                       (3)                                If stakes exceeding in aggregate £500 are hazarded on a day at non-

licensed bingo promoted by a person, sub-paragraph (1) shall not

apply in relation to the person in respect of the accounting period in

which that day falls and the next two accounting periods.

                       (4)                If in an accounting period winnings at non-licensed bingo promoted

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by a person exceed £7,500, sub-paragraph (1) shall not apply in

relation to the person in respect of that accounting period and the

next two accounting periods.

                       (5)                If stakes exceeding in aggregate £7,500 are hazarded in an

accounting period at non-licensed bingo promoted by a person, sub-

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paragraph (1) shall not apply in relation to the person in respect of

that accounting period and the next two accounting periods.

                       (6)                For the purposes of this paragraph winnings at bingo shall be valued

in accordance with section 20(2) to (6).”.

     (4)    After paragraph 2A of Schedule 3 to the Betting and Gaming Duties Act 1981

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insert—

“Non-profit-making bingo

        2B                In calculating liability to bingo duty no account shall be taken of

bingo to which there apply (without any exception or modification

by virtue of regulations) both—

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Finance Bill
Part 1 — Excise duties

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                    (a)                   section 3 of the Gaming Act 1968 or Article 56 of the Betting,

Gaming, Lotteries and Amusements (Northern Ireland)

Order 1985 (prohibition on charging for participation), and

                    (b)                   section 4 of that Act or Article 57 of that Order (prohibition of

levy on stakes or winnings).”.

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     (5)    In paragraph 5(1) of Schedule 3 to the Betting and Gaming Duties Act 1981

(c. 63) (bingo duty: exemptions: commercial amusements) for “Bingo duty

shall not be charged in respect of” substitute “In calculating liability to bingo

duty no account shall be taken of”.

     (6)    In paragraph 6 of Schedule 3 to that Act (bingo duty: exemptions: machine

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bingo) for “Bingo duty shall not be charged in respect of” substitute “In

calculating liability to bingo duty no account shall be taken of”.

     (7)    In paragraph 10(1) of Schedule 3 to that Act (notification and registration of

bingo-promoters) for “which will, or may, be chargeable with bingo duty”

substitute “in connection with which bingo duty may be chargeable”.

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     (8)    The following paragraphs of Schedule 3 to that Act shall cease to have effect—

           (a)           paragraph 11 (announcement of prizes),

           (b)           paragraph 12 (records), and

           (c)           paragraph 15 (disputes).

     (9)    In paragraph 16(2) of Schedule 3 to that Act (enforcement)—

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           (a)           for “(being bingo which is or may be chargeable with bingo duty)”

substitute “(being bingo in connection with which bingo duty may be

chargeable)”, and

           (b)           paragraph (b) (and the word “or” immediately before it) shall cease to

have effect.

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     (10)   This section shall have effect in relation to bingo played on or after 27th

October 2003 (with which day the first accounting period for the purposes of

section 17 of the Betting and Gaming Duties Act 1981 shall begin).

 10    Amusement machines not operated by coins or tokens

     (1)    In section 21 of the Betting and Gaming Duties Act 1981 (amusement machine

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licences), for subsections (3B) to (3D) (meaning of “fifty-penny machine”)

substitute—

           “(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

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cost for each time the game is played on it solo—

                        (i)                        does not exceed 50p, or

                        (ii)                       where the machine provides differing numbers of

games in different circumstances, cannot exceed 50p;

                                      and

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                  (b)                 where it is a machine on which a game can be played by more

than one person at a time, the cost per player for each time the

game is played on it simultaneously by more than one player—

                        (i)                        does not exceed 50p, or

                        (ii)                       where the machine provides differing numbers of

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games in different circumstances, cannot exceed 50p.”.

 

 

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Part 1 — Excise duties

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     (2)    In section 25(1) of that Act (definition of “amusement machine”), in paragraph

(c) for “coin or token” substitute “coin, token or other thing”.

     (3)    In section 26(2) of that Act (interpretation), for the definitions of “two-penny

machine”, “five-penny machine” and “ten-penny machine” substitute—

                    ““two-penny machine” means an amusement machine in relation to

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which the cost for each time a game is played on it—

                    (a)                   does not exceed 2p, or

                    (b)                   where the machine provides differing numbers of games in

different circumstances, cannot exceed 2p,

                                                                                                           and “five-penny machine” and “ten-penny machine” have a

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corresponding meaning;”.

     (4)    In the following provisions of the Value Added Tax Act 1994 (c. 23)—

           (a)           the definition of “gaming machine” in section 23(4), and

           (b)           Note (3) (definition of “gaming machine”) to Group 4 of Schedule 9,

            for “coin or token” substitute “coin, token or other thing”.

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 11    Amusement machines: use of currencies other than sterling

     (1)    In section 26 of the Betting and Gaming Duties Act 1981 (c. 63) (interpretation

etc), omit the definition of “coin” in subsection (2).

     (2)    After that section insert—

       “26A            Amounts in currencies other than sterling

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           (1)           Any reference in this Part of this Act to a amount in sterling, in the

context of—

                  (a)                 the cost of playing a game, or

                  (b)                 the amount of the prize for a game,

                         includes a reference to the equivalent amount in another currency.

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           (2)           The equivalent amount in another currency, in relation to any day, shall

be determined by reference to the London closing exchange rate for the

previous day.

           (3)           For the purposes of determining what duty is payable on an

amusement machine licence in a case where this section applies, the

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equivalent in another currency of an amount in sterling shall be taken

to be its equivalent on the day on which the application for the licence

is received by the Commissioners, or the due date in the case of a

default licence.

           (4)           In subsection (3) above—

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                                  “default licence” means a licence granted under paragraph 3(1) of

Schedule 4A to this Act;

                                  “due date” has the meaning given by paragraph 2(4) of that

Schedule.”.

     (3)    This section does not apply in relation to any amusement machine licence

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granted before the day on which this Act is passed or to anything done under

such a licence.

 

 

 
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