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The table below shows the formulae used for computing gambling duty:

FormulaGaming MachinesTombola / Continuous Lucky Draw/Single/Scheduled Lottery

Formula for Non-GST registered clubs

9.5% x Turnover

30% x Sales

Formula for GST-registered clubs

9.5 % x (Turnover - GST chargeable)

Where GST chargeable @ 7% GST rate = 7/107 x (Turnover - Total Winnings)

30% x (Sales - GST chargeable)

Where GST chargeable @ 7% GST rate = 7/107 x (Sales - cash prizes)

Sample Computations of Gambling Duty

Example 1: Compute Duty On Gaming Machines (Non-GST Registered Clubs)

Club A (not GST registered) operates 3 gaming machines in Nov 2022.

Its gambling duty for Nov 2022 is calculated as follows:

 Turnover* for Machine

 31 Oct 2022

(A)

30 Nov 2022

(B) 

Difference

(C = A - B) 

 1$  1,540,535.80 $  1,523,932.40 $  16,603.40
 2$  4,521,545.90 $  4,500,567.10 $  20,978.80
 3$15,640,364.00 $15,531,974.00 $108,390.00
  Turnover for all machines (C1) $145,972.20

     Duty (9.5% x C1)

 $  13,867.35


* Based on the machines' soft meter readings

Example 2: Compute Duty on Gaming Machines (GST registered clubs)

If Club A in Example 1 was a GST registered club, its gambling duty for Nov 2022 would be calculated as follows:

 Turnover* for Machine

31 Oct 2022

(A) 

30 Nov 2022

(B) 

Difference

(C = A - B) 

 1$  1,540,535.80 $  1,523,932.40 $  16,603.40 
 2$  4,521,545.90  $  4,500,567.10  $  20,978.80 
 3$15,640,364.00 $15,531,974.00  $108,390.00 
 Turnover for all machines (C1)     $145,972.20 

 

 Total winnings paid

31 Oct 2022

(A) 

30 Nov 2022

(B) 

Difference

(C = A - B) 

 1 $  1,268,552.40 $  1,255,809.80  $ 12,742.60
 2 $  2,161,011.10 $  2,151,854.50 $   9,156.60
 3 $10,721,234.00 $10,630,054.80$  91,179.20 
 Total winnings paid for all machines (C2)$113,078.40 
 GST chargeable on gaming supplies [7/107 x (C1 - C2)]  (D)$    2,151.93 
 Duty [9.5% x (C1 - D)]$  13,662.92


*Based on the machines' soft meter readings

Example 3: Compute Duty On Tombola (Non-GST Registered Clubs)

Club B (not GST registered) has collected $3,000 from the sale of Tombola tickets in Oct 2022

Gambling duty on Tombola for Oct 2022
(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 Oct 2022. Cash prizes worth $1,200 and prizes-in-kind worth $350 have been paid out to the winners.

GST Chargeable on Gaming SuppliesGambling Duty on Tombola for Oct 2022
7/107 x ($3,000 - $1,200 # ) = $117.7630% x ($3,000 - $117.76) = $864.67

# 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:

  1. Form PL-R : Do not enter any amount under Line 1b(ii) '"Jackpot prizes awarded".

  2. GST Return : Do not reduce the standard-rated supplies by the cascade payouts.