Mn Gambling Control Board Rules

  
  1. Minnesota Gambling Control Board, Rules Effective 6/16/14 Rule-By-Rule Summary 7861.0210, subpart 2a. Defines application software. 7861.0210, subpart 7a. Defines the term 'board'. Used throughout the rules, it clarifies that reference is to the Gambling Control Board. 7861.0210, subpart 7b. Defines bonus play.
  2. AGED also performs gaming license and vendor investigations for the Minnesota Racing Commission, Minnesota State Lottery and Minnesota Gambling Control Board. Gambling criminal enforcement and investigation — AGED is the primary state law enforcement agency to investigate crimes and violations relating to legal and unlawful forms of gambling.
  3. Currently, the Gambling Control Board will not be accepting walk-in appointments at any of its four locations, but strongly encourages contact via email, or alternatively via phone to your assigned Compliance or Licensing Specialist. November 17, 2020 FY20 Annual Report Now Available.
  4. Lawful gambling and gambling devices are governed by Minnesota Statutes Chapter 349 and are overseen by the Gambling Control Board. From 1945 through 1981, limited gambling for charitable purposes was permitted in Minnesota; no other type of gambling was lawful.

Minnesota Gambling Control Board Rules The rules for lawful gambling electronic games, sports tipboard games, and other lawful gambling provisions are effective on Monday, July 15, 2019. For those of you affected by language requiring compliance within 180 days from the effective date of the rules, that date is January 11, 2020.

Registered nonprofit organizations may conduct lawful (charitable) gambling such as bingo, pull-tabs, tip boards, and paddle tickets. Some food or bar establishments lease or grant space to these organizations.

Mn gambling control board rules against

These activities are subject to the state’s Lawful Gambling Tax (but not sales tax).

For more information:

  • See Gambling Taxes
  • Visit the Gambling Control Board website
  • Call the Gambling Control Board at 651-539-1900
Rules

A retail sale is:

Mn Gambling Control Board Rules Civil

  • The sale, lease, or rental of tangible personal property
  • The sale of tangible personal property used in conducting lawful gambling under chapter 349 or State Lottery under chapter 349A and is not considered a sale of property for resale
Board

The table below explains when sales tax applies to the sale of gambling devices and equipment.

Minnesota Gambling Control Board Forms

QuestionIs the Item Taxable?References
Is the rental of electronic gaming devices taxable?Yes. The lessee is responsible for the sales tax on the rental or lease of the equipment. It does not matter if there is a revenue sharing agreement.
  • Minnesota Statutes 297A.61, subds. 4(k), 4(l), and 7
Are monthly equipment charges taxable?Yes. The lessee is responsible for the sales tax on the rental or lease of the equipment.
  • Minnesota Statutes 297A.61, subds. 4(k), 4(l), and 7
Are revenue sharing agreements taxable?Yes. The lessee is responsible for the sales tax on the total sales price of the rental or lease of an electronic gaming device – even when the sales price is separated into various components.
  • Minnesota Statutes 297A.61, subds. 4(k), 4(l), and 7
Are bingo cards and pull-tabs taxable?Yes. The retailer is responsible for the sales tax unless an exemption applies – including purchases of digital products.
  • Minnesota Statutes 297A.61, subds. 3(i) and 7
Are electronic pull-tabs taxable?Yes. The retailer is responsible for the sales tax unless an exemption applies – including purchases of digital products.
  • Minnesota Statutes 297A.61, subds. 3(i) and 7
Are apps for electronic gaming devices taxable?Yes, they are taxable when sold to the distributor.
  • Minnesota Statutes 297A.61, subds. 3(i) and 7
Is the sale of the software taxable?Yes, they are taxable when sold to the distributor.
  • Minnesota Statutes 297A.61, subd. 17
Does local sales and use tax apply when the city also has a local gambling tax?No. However, Minnesota sales tax (6.875%) still applies.
  • Minnesota Statutes 349.213, subd. 3
Are purchases of gambling equipment by a 501(c)3 organization with a gambling license taxable?

Yes. These organizations must pay sales tax when they purchase, lease, or rent gambling devices and equipment.

  • Minnesota Statutes 297A.70, subd. 4
  • Minnesota Rule 8130.6200, subp. 8

Minn State Gambling Control Board

Control

Mn Gambling Control Board Rules Against

If you have any questions, email us at salesuse.tech@state.mn.us.