The table below shows the formulae used for computing gambling duty:
| Formula | Gaming Machines | Tombola / Continuous Lucky Draw/Single/Scheduled Lottery |
|---|---|---|
| Formula Formula for Non-GST registered clubs | Gaming Machines 9.5% x Turnover | Tombola / Continuous Lucky Draw/Single/Scheduled Lottery 30% x Sales |
| Formula Formula for GST-registered clubs | Gaming Machines 9.5 % x (Turnover - GST chargeable) Where GST chargeable @ 9% GST rate = 9/109 x (Turnover - Total Winnings) | Tombola / Continuous Lucky Draw/Single/Scheduled Lottery 30% x (Sales - GST chargeable) Where GST chargeable @ 9% GST rate = 9/109 x (Sales - cash prizes) |
Sample Computations of Gambling Duty
Example 1: Compute Duty On Gaming Machines (Non-GST Registered Clubs)
Its gambling duty for Feb 2024 is calculated as follows:
| Turnover* for Machine | 28 Feb 2024 (A) | 31 Jan 2024 (B) | Difference (C = A - B) |
|---|---|---|---|
| Turnover* for Machine 1 | 28 Feb 2024 (A) $ 1,540,535.80 | 31 Jan 2024 (B) $ 1,523,932.40 | Difference (C = A - B) $ 16,603.40 |
| Turnover* for Machine 2 | 28 Feb 2024 (A) $ 4,521,545.90 | 31 Jan 2024 (B) $ 4,500,567.10 | Difference (C = A - B) $ 20,978.80 |
| Turnover* for Machine 3 | 28 Feb 2024 (A) $15,640,364.00 | 31 Jan 2024 (B) $15,531,974.00 | Difference (C = A - B) $108,390.00 |
| Turnover* for Machine, 28 Feb 2024 (A) ,31 Jan 2024 (B) Turnover for all machines (C1) | Difference (C = A - B) $145,972.20 | ||
| Turnover* for Machine, 28 Feb 2024 (A) ,31 Jan 2024 (B) Duty (9.5% x C1) | Difference (C = A - B) $ 13,867.35 | ||
* Based on the machines' soft meter readings
Example 2: Compute Duty on Gaming Machines (GST registered clubs)
| Turnover* for Machine | 28 Feb 2024 (A) | 31 Jan 2024 (B) | Difference (C = A - B) |
|---|---|---|---|
| Turnover* for Machine 1 | 28 Feb 2024 (A) $ 1,540,535.80 | 31 Jan 2024 (B) $ 1,523,932.40 | Difference (C = A - B) $ 16,603.40 |
| Turnover* for Machine 2 | 28 Feb 2024 (A) $ 4,521,545.90 | 31 Jan 2024 (B) $ 4,500,567.10 | Difference (C = A - B) $ 20,978.80 |
| Turnover* for Machine 3 | 28 Feb 2024 (A) $15,640,364.00 | 31 Jan 2024 (B) $15,531,974.00 | Difference (C = A - B) $108,390.00 |
| Turnover* for Machine, 28 Feb 2024 (A) ,31 Jan 2024 (B) Turnover for all machines (C1) | Difference (C = A - B) $145,972.20 | ||
| Total winnings paid | 28 Feb 2024 (A) | 31 Jan 2024 (B) | Difference (C = A - B) |
|---|---|---|---|
| Total winnings paid 1 | 28 Feb 2024 (A) $ 1,268,552.40 | 31 Jan 2024 (B) $ 1,255,809.80 | Difference (C = A - B) $ 12,742.60 |
| Total winnings paid 2 | 28 Feb 2024 (A) $ 2,161,011.10 | 31 Jan 2024 (B) $ 2,151,854.50 | Difference (C = A - B) $ 9,156.60 |
| Total winnings paid 3 | 28 Feb 2024 (A) $10,721,234.00 | 31 Jan 2024 (B) $10,630,054.80 | Difference (C = A - B) $ 91,179.20 |
| Total winnings paid, 28 Feb 2024 (A) ,31 Jan 2024 (B) Total winnings paid for all machines (C2) | Difference (C = A - B) $113,078.40 | ||
| Total winnings paid, 28 Feb 2024 (A) ,31 Jan 2024 (B) GST chargeable on gaming supplies [9/109 x (C1 - C2)] (D) | Difference (C = A - B) $ 2,716.00 | ||
| Total winnings paid, 28 Feb 2024 (A) ,31 Jan 2024 (B) Duty [9.5% x (C1 - D)] | Difference (C = A - B) $ 13,609.33 | ||
*Based on the machines' soft meter readings
Example 3: Compute Duty On Tombola (Non-GST Registered Clubs)
| Gambling duty on Tombola for Feb 2024 |
|---|
| Gambling duty on Tombola for Feb 2024 (30% x $3,000) = $900.00 |
Example 4: Compute Duty On Tombola (GST Registered Clubs)
Club C (GST registered) has collected $3,000 from the sale of Tombola tickets in Feb 2024. Cash prizes worth $1,200 and prizes-in-kind worth $350 have been paid out to the winners.
| GST Chargeable on Gaming Supplies | Gambling Duty on Tombola for Feb 2024 |
|---|---|
| GST Chargeable on Gaming Supplies 9/109 x ($3,000 - $1,200 #) = $148.62 | Gambling Duty on Tombola for Feb 2024 30% x ($3,000 - $148.62) = $855.41 |
# Only cash prizes are deductible when computing the GST chargeable on gaming supplies.
FAQs
My club decides not to claim the cascade payouts when computing gambling duty, what should my club take note of when completing Form PL-R and the GST Return?
If your club does not wish to claim cascade payouts as part of "Total winnings paid" to lower the amount of GST Chargeable on gaming supplies, your club should take note of the following:
- Form PL-R : Do not enter any amount under Line 1b(ii) '"Jackpot prizes awarded".
- GST Return : Do not reduce the standard-rated supplies by the cascade payouts.