BN75 : Amusement Machine Licence Duty (AMLD) : Change To Prize Limit for Category C Machines

Who is likely to be affected?

  1. Anyone who provides gaming machines for play.

General description of the measure

  1. Where a gaming machine costs more than 5 pence to play the game once, but does not exceed 50 pence to play the game once, legislation will be introduced in Finance Bill 2007 to increase the value of the prize that may be won in any one game from £25 to £35.
  2. A revised description of the machines falling into each licence category is set out in the table below.
  3. HM Revenue & Customs will also be given the power to increase AMLD prize and stake limits by Order so that, if appropriate, duties can be kept in line with any changes to the social definitions of machine categories.
    Operative date
  4. The change to the prize limit for Category C machines will come into effect on 22 March 2007.
  5. The power to make changes to AMLD categories by order will come into effect from the date the Finance Bill 2007 receives Royal Assent.

Current law and proposed revisions

  1. Part II of the Betting and Gaming Duties Act 1981 (BGDA) will be amended to reflect these changes.
  2. . The categories of machines (described in section 23(3) of BGDA) will be revised as follows:
 

A

A gaming machine that does not fall into any other category

B1

A gaming machine where the amount required to play the game once does not exceed £2, and the value of the prize that may be won in any one game does not exceed £4,000

B2

A gaming machine where the amount required to play the game once does not exceed £100, and the value of the prize that may be won in any one game does not exceed £500.

B3

A gaming machine where the amount required to play the game once does not exceed £1, and the value of the prize that may be won in any one game does not exceed £500.

B4

A gaming machine where the amount required to play the game once does not exceed £1, and the value of the prize that may be won in any one game does not exceed £250.

C

A gaming machine where the amount required to play the game once does not exceed 5 pence and a gaming machine where the amount required to play the game once does not exceed 50 pence, and the value of the prize that may be won in any one game does not exceed £35.


Further advice

  1. Notice 454 Amusement Machine Licence Duty will be amended to reflect the changes.
  2. If you have any questions about this change, please contact HMRC National Advice Service.