Chapter 7.48
GAMBLING RESTRICTIONS—TAX
Sections:
7.48.010 Regulation of gambling.
7.48.015 Unlawful practices.
7.48.017 Prohibition of certain card rooms.
7.48.018 Limited house banked social card game authorization.
7.48.020 Tax rate imposed on gambling activities.
7.48.030 Method of payment of gambling tax.
7.48.035 Director of finance and administration to adopt rules.
7.48.040 Violation is a gross misdemeanor.
7.48.010 Regulation of gambling.
(a) The following statutes of the state, as now existing or as may be hereafter amended, are adopted by reference. Any violation of these statutes is a violation of this section, carrying the same maximum penalties as could be imposed under state statutes:
RCW 9.46.010 Legislative declaration.
RCW 9.46.0201 “Amusement game.”
RCW 9.46.0205 “Bingo.”
RCW 9.46.0209 “Bona fide charitable or nonprofit organization.”
RCW 9.46.0213 “Bookmaking.”
RCW 9.46.0217 “Commercial stimulant.”
RCW 9.46.0221 “Commission.”
RCW 9.46.0225 “Contest of chance.”
RCW 9.46.0229 “Fishing derby.”
RCW 9.46.0233 “Fund raising event.”
RCW 9.46.0237 “Gambling.”
RCW 9.46.0241 “Gambling device.”
RCW 9.46.0245 “Gambling information.”
RCW 9.46.0249 “Gambling premises.”
RCW 9.46.0253 “Gambling record.”
RCW 9.46.0257 “Lottery.”
RCW 9.46.0261 “Member,” “bona fide member.”
RCW 9.46.0265 “Player.”
RCW 9.46.0269 “Professional gambling.”
RCW 9.46.0273 “Punch boards,” “pull-tabs.”
RCW 9.46.0277 “Raffle.”
RCW 9.46.0282 “Social card game.”
RCW 9.46.0285 “Thing of value.”
RCW 9.46.0289 “Whoever,” “person.”
RCW 9.46.0305 Dice or coin contests for music, food, or beverage payment.
RCW 9.46.0311 Charitable, nonprofit organizations—Authorized gambling activities.
RCW 9.46.0315 Raffles—No license required, when.
RCW 9.46.0321 Bingo, raffles, amusement games —No license required, when.
RCW 9.46.0325 Social card games, punch boards, pull-tabs authorized.
RCW 9.46.0331 Amusement games authorized.
RCW 9.46.0335 Sports pools authorized.
RCW 9.46.0341 Golfing sweepstakes authorized.
RCW 9.46.0345 Bowling sweepstakes authorized.
RCW 9.46.0351 Social card, dice games—Use of premises of charitable, nonprofit organizations.
RCW 9.46.0356 Promotional contests of chance authorized.
RCW 9.46.0361 Turkey shoots authorized.
RCW 9.46.039 Greyhound racing prohibited.
RCW 9.46.110 Taxation of gambling activities—Limitations—Restrictions on punch-boards and pull-tabs—Lien.
RCW 9.46.120 Restrictions on management or operation personnel—Restriction on leased premises.
RCW 9.46.130 Inspection and audit of premises, paraphernalia, books and records —Reports for the commission.
RCW 9.46.150 Injunctions—Voiding of licenses, permits, or certificates.
RCW 9.46.155 Applicants and licensees—Bribes to public officials, employees, agents—Penalty.
RCW 9.46.160 Conducting activity without license.
RCW 9.46.185 Causing person to violate rule or regulation.
RCW 9.46.190 Violations relating to fraud or deceit.
RCW 9.46.195 Obstruction of public servant—Penalty.
RCW 9.46.196 Cheating.
RCW 9.46.1962 Cheating in the second degree.
RCW 9.46.198 Working in gambling activity without license as violation—Penalty.
RCW 9.46.200 Action for money damages due to violation—Interest—Attorneys’ fees—Evidence for exoneration.
RCW 9.46.217 Gambling records—Penalty—Exceptions.
RCW 9.46.222 Professional gambling in the third degree.
RCW 9.46.225 Professional gambling—penalties not applicable to authorized activities.
RCW 9.46.231 Gambling devices, real and personal property—Seizure and forfeiture.
RCW 9.46.235 Slot machines, antique—Defenses concerning—Presumption created.
RCW 9.46.240 Gambling information, transmitting or receiving.
RCW 9.46.250 Gambling property or premises—Common nuisances, abatement—Termination of mortgage, contract, or leasehold interest, licenses—Enforcement.
RCW 9.46.260 Proof of possession as evidence of knowledge of its character.
RCW 9.46.293 Fishing derbies exempted.
RCW 9.46.295 Licenses, scope of authority—Exception.
RCW 9.46.350 Civil action to collect fees, interest, penalties, or tax—Writ of attachment—Records as evidence.
RCW 9.46.400 Wildlife raffle.
(b) All nonprohibited gambling activities shall be subject to the tax rates imposed by Section 7.48.020 of this chapter.
(c) No person shall commence any nonprohibited gambling activity within the city until he has filed with the city a notice of intention to do so, giving the date upon which the activity is expected to commence. A copy of the current State Gambling Commission license pursuant to which the gambling activity is to be conducted, or authority to conduct such activity without a license, shall be attached to the notice.
(d) Violation of subsection (c) of this section is a gross misdemeanor. (Ord. 4311 § 1, 2011: Ord. 3692 § 3, 1999: Ord. 3372 §§ 1, 2, 1993)
7.48.015 Unlawful practices.
Violating or knowingly causing, aiding, abetting or conspiring with another to cause any person, association, business or organization to violate any provision of this chapter is a gross misdemeanor. (Ord. 3692 § 5, 1999)
7.48.017 Prohibition of certain card rooms.
(a) Except as authorized in Section 7.48.018, the conduct of a social card game as a commercial stimulant is prohibited within the city of Kirkland. The term “commercial stimulant” means an activity operated in connection with an established business, with the purpose of increasing the volume of sales of food or drink for consumption on that business premises, whether for profit or charitable purposes, except as authorized in RCW 9.46.0351.
This section is an exercise of the city’s authority under state law to prohibit gambling activities (see RCW 9.46.295). In turn, a license issued by the state to engage in gambling activities is not legal authority to engage in the conduct of social card games as a commercial stimulant anywhere within the city of Kirkland.
Should there be any change in the terminology used by the state in issuing a gambling license, this section should be liberally construed so as to prohibit that category of gambling activities which is most similar to what is presently licensed as a card game under RCW 9.46.070(2).
(b) Any person who engages in or carries on an activity in violation of this section shall be guilty of a gross misdemeanor. Each day of violation shall be considered a separate crime.
(c) If any provision of this section or its application to any person or circumstance is held invalid, the remainder of this section, or the application of the provision to other persons or circumstances, is not affected. (Ord. 4423 § 1, 2013: Ord. 4334 § 8, 2011; Ord. 4292 § 1, 2011: Ord. 3687 § 1, 1999)
7.48.018 Limited house banked social card game authorization.
Pursuant to authority provided in RCW 9.46.295, any house banked social card game business operating in the city on June 1, 2011, that was licensed by the Washington State Gambling Commission before July 26, 2009, may continue to operate thereafter within the city in accordance with applicable law. As further allowed by RCW 9.46.295, no additional house banked social card game businesses will be allowed to operate within the city. (Ord. 4292 § 2, 2011)
7.48.020 Tax rate imposed on gambling activities.
(a) Tax Imposed. Pursuant to RCW 9.46.110, the city imposes a tax upon any gambling activity which activity is not prohibited by either state law or city ordinance. For the purposes of this section, a “charitable or nonprofit organization” shall mean an entity meeting the requirements of Chapter 9.46 RCW for a bona fide charitable or nonprofit organization. The gambling tax rate levied by the city of Kirkland is as follows:
(1) Bingo: ten percent of gross receipts less the amount awarded as cash or merchandise prizes; provided, that effective January 1, 2000, the tax rate for bingo shall be five percent of gross receipts less the amount awarded as cash or merchandise prizes.
(2) Raffles: ten percent of gross receipts less the amount awarded as cash or merchandise prizes; provided, that effective January 1, 2000, the tax rate for raffles shall be five percent of gross receipts less the amount awarded as cash or merchandise prizes.
(A) Special Rule. When a raffle is conducted by a charitable or nonprofit organization, no tax shall be imposed on the first ten thousand dollars (per calendar year) of gross receipts less the amount awarded as cash or merchandise prizes.
(3) Amusement games: two percent of gross receipts less the amount awarded as prizes. The city shall use the revenue from such tax to pay the actual costs of enforcement of this chapter and Chapter 9.46 RCW by law enforcement.
(4) Punch boards and/or pull-tabs: five percent of gross receipts.
(A) Special Rule. When punch boards and/or pull-tabs are operated by a charitable or nonprofit organization, the tax shall be ten percent of gross receipts less the amount awarded as cash or merchandise prizes.
(5) Social card games, including but not limited to house banked social card games: eleven percent of gross revenue. The city of Kirkland prohibits social card games as a commercial stimulant except as allowed under Section 7.48.018.
(6) Contests of chance: seven percent of gross receipts. For purposes of this subsection, “contests of chance” shall mean gambling activities conducted at a “fund raising event” meeting the requirements of Chapter 9.46 RCW, other than the gambling activities listed above in this section. Bingo, raffles, amusement games, punch boards and/or pull-tabs, or social card games shall be taxed at the specific rates provided hereinabove, even if such activity was conducted as part of a fund raising event.
(b) Exemption for Certain Bingo or Amusement Games. A charitable or nonprofit organization, having no paid operating or management personnel, shall be exempt from the tax imposed under subsections (a)(1) and (3) of this section so long as such organization receives no more than five thousand dollars per year in gross receipts from bingo or amusement games, or a combination thereof, less the amount awarded as cash or merchandise prizes.
(c) Lien. Taxes imposed under this chapter become a lien upon personal and real property used in the gambling activity in the same manner as provided for under RCW 84.60.010. The lien shall attach on the date the tax becomes due and shall relate back and have priority against real and personal property to the same extent as ad valorem taxes. (Ord. 4440 § 1, 2014: Ord. 4422 § 1, 2013: Ord. 4292 § 3, 2011: Ord. 3692 § 2, 1999)
7.48.030 Method of payment of gambling tax.
(a) Every holder of a gambling license from the State Gambling Commission who carries on all or any part of the gambling activity within the city shall:
(1) Beginning in October of 2014, on or before the last day of each April, July, October and January which follows the end of the quarterly period in which the tax accrued, that being March 31st, June 30th, September 30th and December 31st, file with the finance and administration department a sworn statement on a form to be provided by the finance and administration department, reporting the gross revenue received for the purpose of ascertaining the tax due for the preceding quarterly period; and
(2) Pay over to the city, at the same time, the amount of gambling tax due for that period.
(b) Gambling taxes shall become delinquent on the seventh day following the due date and shall be subject to interest from the due date until paid at the rate of one percent per month.
(c) Failure to make payment in full of all tax amounts and accrued interest within sixty days following the due date shall be both a civil and a criminal violation of this section.
(d) Any tax, including interest due and unpaid under this section, shall constitute a debt to the city, and may be collected by civil court proceedings in the same manner as any other debt in like amount, which shall be in addition to all other existing remedies. (Ord. 4491 § 10 (part), 2015; Ord. 4440 § 2, 2014: Ord. 2307 § 3, 1976)
7.48.035 Director of finance and administration to adopt rules.
(a) The director of finance and administration shall have authority to adopt rules and regulations not inconsistent with the provisions of this chapter for carrying out and enforcing payment, collection and remittance of the taxes herein levied. A copy of the rules and regulations so adopted shall be on file and available for public examination in the director of finance and administration’s office. Failure or refusal to comply with any such rules and regulations is a violation of this chapter.
(b) Such administrative rules shall include the form of tax return required to be filed with the city at the time of payment of the gambling tax, and the procedures for when and how audit of the gambling licensee’s records, for the purpose of verifying the tax return, may be conducted by the director of finance and administration. (Ord. 4416 § 48, 2013: Ord. 3573 § 59, 1997: Ord. 3057 § 3, 1987)
7.48.040 Violation is a gross misdemeanor.
Any person who engages in or carries on any gambling activity subject to the provisions of this chapter of the Kirkland Municipal Code without having complied with all of the provisions of this chapter, unless the penalty has already been provided, shall be guilty of a gross misdemeanor. Each day during which such noncompliance occurs shall be considered a separate violation. (Ord. 3372 § 5, 1993: Ord. 2307 § 4, 1976)