§4402 — Exemptions
3 cases·3 cited
Statute Text — 26 U.S.C. §4402
No tax shall be imposed by this subchapter—
On any wager placed with, or on any wager placed in a wagering pool conducted by, a parimutuel wagering enterprise licensed under State law,
On any wager placed in a coin-operated device (as defined in section 4462 as in effect for years beginning before July 1, 1980), or on any amount paid, in lieu of inserting a coin, token, or similar object, to operate a device described in section 4462(a)(2) (as so in effect), or
On any wager placed in a sweepstakes, wagering pool, or lottery which is conducted by an agency of a State acting under authority of State law, but only if such wager is placed with the State agency conducting such sweepstakes, wagering pool, or lottery, or with its authorized employees or agents.
Treasury Regulations
- Treas. Reg. §Treas. Reg. §44.4402-1 Exemptions
- Treas. Reg. §Treas. Reg. §44.4402-1(a) Parimutuel wagering enterprises.
- Treas. Reg. §Treas. Reg. §44.4402-1(b) Wagering machines—(1) In general.
- Treas. Reg. §Treas. Reg. §44.4402-1(i) A machine that is operated by means of the insertion of a coin, token, or similar object and that, even though it does not dispense cash or tokens, has the features and characteristics of a gaming device whether or not evidence exists as to actual payoffs.
- Treas. Reg. §Treas. Reg. §44.4402-1(v) A coin-operated machine that displays a poker hand or delivers a ticket with a poker hand symbolized on it that entitles the player to a prize if the poker hand displayed by the machine or symbolized on the ticket constitutes a winning hand.