Finance Bill Tracking Service 2010 | Budget 2010

BN63 EXCISE: CHANGES TO BINGO DUTY, AMUSEMENT MACHINE LICENCE DUTY AND GAMING DUTY

Who is likely to be affected?

1. Casinos, bingo clubs and anyone who provides a gaming machine for play in the UK.

General description of the measure

2. Legislation will be introduced in Finance Bill 2010 to:

•    reduce the rate of bingo duty from 22 per cent to 20 per cent;

•    increase the amounts of amusement machine licence duty (AMLD) in line with inflation; and

•    raise the gross gaming yield (GGY) bandings for gaming duty in line with inflation.

Operative date

3. The new rate for bingo duty will have effect for accounting periods beginning on or after 29 March 2010.

4. The increase in the amounts of duty for AMLD will have effect for any licence applications received at HM Revenue & Customs' accounting centre after 4pm on 26 March 2010.

5. The changes to the GGY bandings have effect for accounting periods starting on or after 1 April 2010.

Current law and proposed revisions

6. The rate of bingo duty in section 17 of the Betting and Gaming Duties Act 1981 (BGDA) will be reduced from 22 per cent to 20 per cent.

7. The table in section 23 of BGDA, setting out the amounts of licence duty, will be replaced by the table below.

Month A B1 B2 B3 B4 C
1 520 265 210 210 190 85
2 1015 505 395 395 360 150
3 1520 760 605 605 545 225
4 2025 1015 800 800 725 300
5 2540 1270 1000 1000 900 375
6 3050 1520 1195 1195 1085 450
7 3555 1775 1395 1395 1265 520
8 4060 2025 1600 1600 1450 600
9 4570 2285 1800 1800 1630 675
10 5075 2540 1995 1995 1810 750
11 5580 2795 2195 2195 1990 820
12 5805 2905 2285 2285 2075 860

8. The table of GGY bandings for gaming duty in section 11 of the Finance Act 1997 will be replaced by the table below.

The first £1,975,000 of GGY 15 per cent
The next £1,361,500 of GGY 20 per cent
The next £2,385,000 of GGY 30 per cent
The next £5,033,500 of GGY 40 per cent
The remainder 50 per cent

Further advice

9. If you have any questions about this change, please contact the Excise and Customs Helpline on 0845 010 9000. Information about Budget measures is available on the HM Revenue & Customs website at www.hmrc.gov.uk