Betting and Gaming Duties Act 1981

22 Gaming machine licence duty

(1) A duty of excise shall be charged on gaming machine licences and the duty on a licence shall be determined by reference—

(a) to whether the premises in respect of which the licence is granted have or have not local authority approval under the Gaming Acts, and

(b) to whether the licence authorises the provision of machines chargeable at the lower, the higher or the peak rate and to the number of machines of each of those descriptions which it authorises.

(2) Subject to subsection (4) below, premises are to be treated as having local authority approval under the Gaming Acts if there is for the time being in force in respect of the premises—

(a) a permit granted under Schedule 3 to the [1976 c. 32.] Lotteries and Amusements Act 1976 (permit for provision of amusements with prizes under section 16 of that Act), or

(b) a permit granted under section 34 of the [1968 c. 65.] Gaming Act 1968 (conditions under which gaming may be carried on by means of machines).

(3) Premises are also to be treated as having local authority approval under the Gaming Acts at any time when—

(a) there is for the time being in force in respect of them a licence under the Gaming Act 1968, and

(b) by virtue of a direction of the licensing authority under section 32 of the Gaming Act 1968 (approval for provision of more than two machines) section 34 of that Act has effect in relation to the premises.

(4) Premises are not to be treated as having local authority approval under the Gaming Acts if a club or a miners' welfare institute within the meaning of the Gaming Act 1968 is for the time being registered in respect of them under Part III of that Act (which regulates gaming by means of machines).

(5) Subject to subsection (6) below, for the purposes of a gaming machine licence—

(a) a machine is chargeable at the lower rate if it can only be played by the insertion into the machine of a coin or coins of a denomination, or aggregate denomination, not exceeding 2p;

(b) a machine is chargeable at the higher rate—

(i) if it is on premises which have local authority approval under the Gaming Acts and is not within paragraph (a) above, or

(ii) if it is not on such premises and it can only be played by the insertion into it of a coin or coins of a denomination, or aggregate denomination, exceeding 2p but not exceeding 5p; and

(c) a machine is chargeable at the peak rate in any other case.

(6) Where the game playable by means of a machine can be played more than once for the insertion of a coin or coins of a denomination, or aggregate denomination, exceeding a sum mentioned in subsection (5) above, the machine is to be treated for the purposes of that subsection 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.