42-7B-28.2. Calculation of adjusted gross proceeds.

When calculating adjusted gross proceeds for the purpose of applying the tax imposed by §§ 42-7B-28 and 42-7B-28.1:

(1)    Free play value provided by the operator is not included in the gross proceeds;

(2)    Cash prizes deducted are adjusted to not include an amount equal to ninety percent of the free play value provided by the operator; and

(3)    The federal excise tax on sports wagers imposed by 26 U.S.C. § 4401 (1982) is a deduction from the adjusted gross proceeds.

Source: SL 2015, ch 219, § 1; SL 2022, ch 162, § 1.