Machine Games Duty (MGD) Calculator 2026

MGD is a tax on the net takings from dutiable machine games in Great Britain. It applies to gaming machines (Category B, C, D) in pubs, arcades, casinos and other premises. It replaced Amusement Machine Licence Duty from 1 February 2013.

Standard rate: 20% of net takings for non-redemption machines (most slots and gaming machines). Lower rate: 5% of net takings for prize redemption machines and penny-fall machines.

MGD = (Total stakes received − Total prizes paid out) × duty rate. Net takings are the machine's gross gaming revenue. You cannot deduct operating costs — only prize payouts.

Anyone who operates a dutiable machine game on a commercial basis. Operators must register with HMRC via the Government Gateway before operating machines. You must submit returns and pay duty monthly or quarterly.

Machines that charge less than 5p to play, machines in private homes, and Category D prize machines in certain qualifying amusement premises (subject to the lower rate rather than exemption) are subject to different treatment.

You register as a business with HMRC for MGD and declare all machines across all premises in your returns. Each machine must be listed in your records, but you do not need separate registrations per venue.

HMRC requires machine-by-machine records of: stakes collected, prizes paid, meter readings, machine details (serial number, location). Records must be kept for at least 4 years.

Monthly returns are due by the 28th of the following month. Quarterly returns are due by the last day of the month following the quarter end. Payment is due at the same time as the return.