Value Added Tax Act 1994

Group 4— Betting, gaming and lotteries U.K.

Item No. U.K.

1 The provision of any facilities for the placing of bets [F1 or for the playing of any games of chance for a prize].

Textual Amendments

F1 Words in Sch. 9 Pt. II Group 4 item 1 substituted (1.11.2006) by The Value Added Tax (Betting, Gaming and Lotteries) Order 2006 (S.I. 2006/2685), arts. 1, 2(a)

2 U.K. The granting of a right to take part in a lottery.

Notes: U.K.

(1) Item 1 does not include—

(a) admission to any premises; or

[F2 (b) the granting of a right to play a game of chance for a prize unless the playing of the game is excepted from this paragraph by Note (5); or]

(c) the provision by a club of such facilities to its members as are available to them on payment of their subscription but without further charge; or

(d) the provision of [F3 anything which is a gaming machine for the purposes of section 23].

[F4 (2) ”Game of chance”—

(a) includes—

(i) a game that involves both an element of chance and an element of skill,

(ii) a game that involves an element of chance that can be eliminated by superlative skill, and

(iii) a game that is presented as involving an element of chance, but

(b) does not include a sport.

(3) A person plays a game of chance if he participates in a game of chance—

(a) whether or not there are other participants in the game, and

(b) whether or not a computer generates images or data taken to represent the actions of other participants in the game.

(4) ”Prize” does not include the opportunity to play the game again.]

[F5 (5) The playing of a game of chance for a prize is excepted from Note (1)(b) if the playing of the game constitutes–

(a) remote gaming for the purposes of remote gaming duty,

(b) prize gaming under a permit or at any qualifying centre or fair,

(c) non-commercial gaming,

(d) equal chance gaming at a qualifying club or institute, or

(e) gaming for small prizes in a bingo hall.

(6) In Note (5) “prize gaming under a permit or at any qualifying centre or fair”–

(a) in Great Britain, means the playing of a game where the provision of facilities for its playing falls within section 289, 290 or 292 of the 2005 Act (prize gaming under a permit, at gaming and entertainment centres and fairs), and

(b) in Northern Ireland, means the playing of a game to which Article 154 of the 1985 Order applies and which takes place in accordance with the requirements of that Article (amusements with prizes at certain other places).

(7) In that Note “non-commercial gaming”–

(a) in Great Britain, means the playing of a game in respect of which the conditions in section 299 or 300 of the 2005 Act are complied with (non-commercial prize and equal chance gaming), and

(b) in Northern Ireland, means the playing of a game to which Article 126 or 153 of the 1985 Order applies and which takes place in accordance with the requirements of that Article (gaming otherwise than for private gain).

(8) In that Note “equal chance gaming at a qualifying club or institute”–

(a) in Great Britain, means the playing of a game where the provision of facilities for its playing falls within section 269 of the 2005 Act (equal chance gaming by members’ or commercial clubs and miners’ welfare institutes), and

(b) in Northern Ireland, means the playing of a game to which Article 128 of the 1985 Order applies (special charges for play at certain clubs).

(9) In that Note “gaming for small prizes in a bingo hall”–

(a) in Great Britain, means the playing of a game where the provision of facilities for its playing falls within section 291 of the 2005 Act (bingo halls) or the playing at any licensed premises of bingo in respect of which the conditions in Note (10) are complied with, and

(b) in Northern Ireland, means the playing of a game to which Article 77(1) of the 1985 Order applies (gaming for prizes on bingo club premises).

For the purposes of paragraph (a) “licensed premises” means premises in respect of which a bingo premises licence (within the meaning of Part 8 of the 2005 Act) has effect.

(10) The conditions in this Note are that–

(a) the amount charged for any one chance to win one or more prizes in a particular game does not exceed 50 pence,

(b) the aggregate amount charged for participating in a particular game does not exceed £500,

(c) no money prize for which a game is played exceeds £50, and

(d) the aggregate amount or value of the prizes for which a game is played does not exceed £500.

(11) In Notes (6) to (9)–

• “the 1985 Order” means the Betting, Gaming, Lotteries and Amusements (Northern Ireland) Order 1985, and

• “the 2005 Act” means the Gambling Act 2005.]

Textual Amendments

F2 Sch. 9 Pt. II Group 4 Note (1)(b) substituted (1.9.2007) by The Value Added Tax (Betting, Gaming and Lotteries) Order 2007 (S.I. 2007/2163), arts. 1, 3

F3 Words in Sch. 9 Pt. II Group 4 Note (1)(d) substituted (1.11.2006) by The Value Added Tax (Betting, Gaming and Lotteries) Order 2006 (S.I. 2006/2685), arts. 1, 2(b)

F4 Sch. 9 Pt. II Group 4 Notes (2)-(4) substituted for Notes (2)-(8) (1.11.2006) by The Value Added Tax (Betting, Gaming and Lotteries) Order 2006 (S.I. 2006/2685), arts. 1, 2(c)

F5 Sch. 9 Pt. II Group 4 Notes (5)-(11) inserted (1.9.2007) by The Value Added Tax (Betting, Gaming and Lotteries) Order 2007 (S.I. 2007/2163), arts. 1, 4