Exemption ― betting, gaming, dutiable machine games and lotteries

Copyright © 2026 LexisNexis
Produced by a Tolley Value Added Tax expert
Value Added Tax
Guidance

Exemption ― betting, gaming, dutiable machine games and lotteries

Copyright © 2026 LexisNexis
Produced by a Tolley Value Added Tax expert
Value Added Tax
Guidance
imgtext

This guidance note provides information about the VAT treatment of betting, gaming, dutiable machine games and lotteries. It should be read in conjunction with the VAT liability ― overview guidance note.

For detailed commentary, see De Voil Indirect Tax Service V4.131.

For HMRC guidance, see Notice 701/29.

Betting and gaming

The provision of any facilities for the placing of bets or for the playing of any game of chance for a prize is exempt from VAT.

Betting

A bet has been defined as ‘the staking of money or other value on the event of a doubtful issue’.

Game of chance

VATA 1994, Sch 9, Pt II, Group 4, Note 2 states that a game of chance:

  1. 1)

    ‘includes ―

    1. i)

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

    2. ii)

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

    3. iii)

      a game that is presented as involving an element of chance...’

This

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  • 05 Oct 2026 13:15

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