LAWS OF THE REPUBLIC OF VANUATU
CONSOLIDATED EDITION 2006

Commencement: 28 October 1983

CHAPTER 172
GAMING (CONTROL)

Act 23 of 1983
Act 47 of 1989
Act 19 of 1993
Act 3 of 1996
Act 14 of 1996
Act 12 of 1998
Act 3 of 2001

ARRANGEMENT OF SECTIONS

1. Interpretation
2. Prohibition of gaming machines and gaming tables
3. Exceptions to section 2
4. Licensing of gaming machines etc.
5. Gaming duty
5A. Returns to be furnished by the licensee
5AA. Exemption from requirement to pay gaming duty
5B. Records
5C. Penalty
6. Licences to be displayed
7. Revocation of gaming licences
8. Search warrants
9. Offences
10. Forfeiture
10A. Regulations
11. Provisions concerning Cap. 33

GAMING (CONTROL)

To make further provisions with respect to gaming and for purposes connected therewith.

1. Interpretation

In this Act –

"game of chance" includes –

(a) a game of chance and skill combined and the fact that a game contains an element of skill shall not prevent it being treated as a game of chance if nothing but a superlative skill can overcome the element of chance;

(b) without derogation from the generality of the foregoing, baccarat, blackjack, chemin de fer, craps, roulette, trente et quarante, vingt-et-un and any other game which is essentially similar to any of them;

(c) any other game which the Minister may, after consultation with the Minister responsible for home affairs, by Order declare to be a game of chance for the purposes of this Act, having regard to the character of the game and the circumstances in which it is played;

"gaming" means playing a game of chance for winnings in money or money's worth;

"gaming licence" means a licence issued under section 4;

"gaming machine" means a machine (commonly known as "poker machine") operated mechanically or electrically –

(a)	which is constructed or adapted for playing a game of chance by means of it; and

(b) where a player pays to play the machine either by inserting a coin or token into the machine or in some other way; and

(c) where the outcome of the game is determined by the chances inherent in the machine, whether or not means are provided for manipulation of the machine by a player;

"gaming table" means any table or other surface constructed or adapted for playing any game of chance;

"hotel" does not include a pension, boarding house or similar establishment;

"licensee" means the holder of a gaming licence;

"Minister" means the Minister responsible for finance;

"premises" includes any vehicle and any ship belonging to Vanuatu by reason of registration or otherwise.

2. Prohibition of gaming machines and gaming tables

Subject to the provisions of section 3 no gaming machine or gaming table shall be provided for gaming at any place in Vanuatu.

3. Exceptions to section 2

The provisions of section 2 shall not apply to the provision of gaming machines or gaming tables on the premises of –

(a) any hotel;

(b) any club (whether incorporated or unincorporated and whether members' or proprietary) which is not set up and conducted with a view to profit or private gain;

(c) any pleasure ship or other vessel:

Provided that there is a valid gaming licence in respect of any such machine or table.

4. Licensing of gaming machines, etc.

(1) A gaming licence may be issued by the Minister after consultation with the Minister responsible for home affairs on application by a person having the management of the premises referred to in section 3.

(2) A gaming licence unless revoked earlier under section 7, shall be valid until the 31 December of the year of issue.

(3) The Minister may issue a licence under this section under such conditions to be specified in the licence as he may think fit.

(4) Without derogation from the generality of subsection (3) it may be a condition of a licence that a gaming machine or table may only be used by the residents of the hotel, members of the club, or passengers of the ship or vessel, as the case may be, where the machine or table is placed, and by bona fide guests of such persons.

(5) There shall be payable in respect of a licence issued under this Act a gaming licence fee at the rate of –

(a)	VT 5 million –

(i)	for gaming machines; or

(ii)	for gaming tables; or

(iii)	for gaming machines and gaming tables,

in a hotel; and

(b)	VT 1,650,000 for gaming machines in a club.

(6) The fee provided in subsection (5) shall be an annual fee and shall be due and paid on the first day of the month on which business is first commenced and thereafter on or before the first day of January of each succeeding year.

(7) If the gaming licence fee has not been paid in full in accordance with subsection (6), the fee or part of the fee remaining unpaid shall be increased by 10% for each month or part thereof during which the fee remains unpaid.

5. Gaming duty

(1) A gaming duty is to be charged on each gaming machine and gaming table provided on any premises mentioned in section 3.

(1A) The gaming duty is to be calculated at the following rates:

(a) 7.5% on the gross profit derived in each month from each gaming machine and gambling table for non-profit clubs; 

(b) 30% on the gross profit derived in each month from each gaming machine and gambling table for profit-making establishments.

(2)	Gaming duty provided in subsection (1) in respect of any month shall be payable by every licensee, to the collector of Rates and Taxes on or before the last working day of the succeeding month.

(3)	For the purpose of this section the "gross profit derived in any month" means: the sum obtained by deducting from the total amount received from gaming, the amount dispensed during that month by payment to players as winnings and then if the value of any unredeemed token or chips at the end of the month –

(a) is greater than that which it was at the beginning of the month by adding the difference between those values, or

(b) is less than it was at the beginning of the month by deducting the difference between those values.

(4) For the avoidance of doubt it is hereby declared that the provisions of gaming machines or gaming tables in respect of which a gaming licence is in force shall not be regarded as supply of goods or services for the purposes of the Hotel and Licensed Premises Act [Cap. 141], and, accordingly, no tax shall be charged under that Act in respect of such machines or tables.

5A. Returns to be furnished by the licensee

(1) Every licensee shall furnish to the Collector within 30 days immediately succeeding the end of the month in respect of which the gaming duty is due, a return in such form and containing such particulars as may be prescribed, of the gross profit derived by that licensee during that month.

 (2) Any licensee who fails to furnish a return under subsection (1) shall be guilty of an offence and shall be liable to a fine not exceeding VT 50,000 and if the failure continues, to a further fine of VT 2,000 for each day in which the failure so continues.

5AA. Exemption from requirement to pay gaming duty

(1) A licensee is exempt, for the prescribed period, from any requirement to pay gaming duty under section 5 if the Minister is satisfied on issuing the licensee’s licence that:

(a)	the gaming machines or gaming tables to which the licence applies are, or are to be, newly installed at the premises concerned; and

(b) the capital investment in Vanuatu by the licensee, in relation to the premises (including the machines or tables), has been, or will be, VT 1 billion or more within a 3 year period.

(2) If the Minister determines (after issuing the licence and based on information not available to him or her when granting the licence) that the capital investment in Vanuatu has been, or will be, less than VT 1 billion within the 3 year period:

(a)	the exemption ceases to apply; and

(b)	the licensee is liable to pay gaming duty under section 5, for each month that has elapsed during the period of exemption, at the rate that applied under that section during that month.

(3)	However, if the Minister determines that failure to invest VT 1 billion or more within the 3 year period is due to circumstances beyond the control of the licensee, the Minister may continue the exemption for a further period.

(4)	If the Minister subsequently determines (based on information not available to him or her when making the determination under subsection (3)) that the capital investment in Vanuatu has been, or will be, less than a total of VT 1 billion during the 3 year period and the further period, paragraphs (a) and (b) of subsection (2) apply.

(5)	In this section, "prescribed period", for an exemption from duty payable in relation to gaming machines or gaming tables on premises, means the period of one year from the date on which the gaming machines or gaming tables commence to be made available for trade at the premises.

5B. Records

(1) Every licensee shall keep for the purposes of this Act, records and documents sufficient to enable an accurate calculation of the gross profit derived by him on every gaming machine or gaming table in respect of which the licence is issued.

(2) Any licensee failing to comply with subsection (1) shall be guilty of an offence and shall be liable to a fine not exceeding VT 100,000.

5C. Penalty

(1) If a licensee does not pay the gaming duty when it is due and payable he shall pay to the Collector a penalty at the rate of 10 percent of the unpaid gaming duty which shall accumulate monthly.

(2) The penalty shall become immediately payable on the first day after the end of the calendar month during which it was due and payable and shall be payable in respect of the gaming duty due and payable during that period.

(3) The Collector with the approval of the Minister may reduce or waive any penalty added under this section if it appears to him that such reduction or waiver is just and equitable in all the circumstances of the case.

6. Licences to be displayed

(1) The person having the management of the premises on which gaming machines or gaming tables are provided shall secure that the gaming licence is prominently affixed to each machine or table in respect of which it is issued, or, where that is not practicable, that it is prominently displayed near such machine or table in such manner as to enable such machine or table to be easily identified.

(2) Any such person who fails to comply with the provisions of subsection (1) shall be guilty of an offence.

Penalty: a fine of VT 50,000.

7. Revocation of gaming licences

(1) The Minister may revoke or refuse to renew a gaming licence at any time on any of the following grounds –

(a) that the licence has been obtained by fraud or misrepresentation;

(b) that the person having the management of the relevant premises or the persons employed thereon are not fit and proper persons for such purposes;

(c) that the relevant premises are not in any class of premises specified in paragraphs (a), (b) and (c) of section 3.

(d) that the relevant premises have not been so conducted as to prevent disturbance or disorder;

(e) that gaming on the relevant premises has been dishonestly conducted;

(f) that the relevant premises have been used for an unlawful purpose or as a resort of criminals or prostitutes;

(g)	that any conditions of the licence have not been complied with by any person;

(h) that appropriate precautions against the danger of fire have not been observed, or have been insufficiently observed in the use of the relevant premises.

(2) In this section "relevant premises" means the premises specified in the gaming licence.

8. Search warrants

If a magistrate is satisfied on information on oath that there are reasonable grounds for suspecting that an offence under this Act is being or has been committed on any premises, he may issue a warrant authorising any police officer or other person to enter those premises, if necessary by force; and any such officer or person may seize and remove any document, money, instrument or other thing whatsoever found on the premises which he has reason to believe may be required as evidence in any proceedings for an offence under this Act.

9. Offences

(1) Any person who –

(a) provides or is a party to providing a gaming machine or gaming table for gaming at any place in Vanuatu other than the premises specified in paragraphs (a), (b) or (e) of section 3; or

(b) provides or is a party to providing a gaming machine or gaming table for gaming at any such premises without a valid gaming licence in respect of such machine or table; or

(c) contravenes or fails to comply with any of the conditions of a gaming licence, shall be guilty of an offence.

Penalty: a fine of VT 500,000 and imprisonment for 1 year.

(1A) Any person who –

(a)	for the purposes of this Act makes any statement or entry in a return, or furnishes any information, record or particulars which to the knowledge of that person is untrue or incorrect; or

(b)	omits from a return made or furnished under this Act any amount of gross profit which he should have include in that return: or

(c)	prepares or maintains for the purpose of this Act any false books of account or other records or falsifies any book or record,

shall be guilty of an offence.

Penalty: Fine of VT 500,000 and imprisonment of one year.

(2) Where an offence under this Act committed by a body corporate is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of, any director, manager, secretary or other similar officer of the body corporate, he as well as the body corporate shall be guilty of that offence and shall be liable to be proceeded against and punished accordingly.

10. Forfeiture

Where a person is convicted of an offence under section 9 the court may order anything (including money) produced to the court and shown to relate to the offence to be forfeited and either destroyed or dealt with in such other manner as the court may order.

10A. Regulations

(1) The Minister may make regulations for the purpose of carrying out or giving effect to the principles and provisions of this Act.

(2) In particular and without prejudice to the generality of the powers conferred by subsection (1), the Minister may make regulations in respect of any matter which is required or authorized by this Act to be prescribed.

11. Provisions concerning Cap. 33

The provisions of the Amusement Machines Tax Act [Cap. 33] shall not apply in relation to gaming machines and gaming tables. 

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Table of Amendments (since the Revised Edition 1988)

1 Amended by Act 47 of 1989
4(5), (6), (7) Inserted by Act 3 of 1996
5 Substituted by Act 47 of 1989
5(1) Amended by Acts 3 of 1996, 14 of 1996; Substituted by Act 12 of 1998, then by Act 3 of 2001
5(1A) Inserted by Act 3 of 2001
5A Inserted by Act 47 of 1989
5AA Inserted by Act 8 of 2005
5B Inserted by Act 47 of 1989
5C Inserted by Act 19 of 1993
9(1A) Inserted by Act 47 of 1989
10A Inserted by Act 47 of 1989