Rule 23.16.2402 - LIVE KENO AND BINGO RECORD KEEPING(1) A record of live keno and bingo gross proceeds, must be maintained separate and distinct from other sources of operator revenue. Unless designated otherwise the operator of a live keno or bingo game must retain daily accounting records for a period of three years from the due date of the live game income tax return. The records must remain legible and be kept in the State of Montana and accessible by the department from the licensee. (a) The following records must be maintained by operators of live keno and bingo games: (i) the gross income collected, supported by proper records as required in these rules.(ii) the amounts paid out for prizes supported by proper records as required in these rules.(iii) records documenting the starting and ending cash bank which must be verified by a signature. The amount of the starting bank must be verified by the signature of at least one person responsible for counting or managing the starting game bank. The ending bank must be verified by the signature of at least one person responsible for counting or managing the ending game bank. In no case may the same person verify both starting and ending cash bank amounts.(iv) records providing a reconciliation of gross income, actual profit, cash long or short, and bank deposit.(v) a copy of the schedule of games and their prizes.(b) the form(s) on which daily live keno and bingo records are kept must, at a minimum, provide for the requirements of (1)(a). If necessary, the form(s) must also provide for the following:(i) if live game cash is used to pay expenses other than prize payouts, the daily reconciliation form(s) must include an entry for these expenses. In addition to the reconciliation entry, copies of the expense receipts must be attached to and kept with the associated daily records.(ii) if adjustments are made to increase or decrease the starting bank balance for the next day or session of play, the adjustments must be accounted for on the operator's daily reconciliation form(s).(2) In addition to the records required to be kept under part 1 of this rule, the live keno operator must maintain the following records:(a) a record of outside keno card purchases, detailing the number of cards purchased by series number must be kept for a period not less than three years from the due date of the associated live keno income tax return. The outside keno card purchase invoices must segregate the order by single cards and card sheets;(b) if the premise uses a cash register or other method of calculating cash on hand with which a tape record is maintained, the tape record must be kept with other daily records;(c) if, in the game bank reconciliation process, the operator experiences a net cash overage or shortage in excess of 1% of gross game income for a one-month period, the overage or shortage must be investigated. A record detailing the findings of the investigation must be maintained with other required records;(d) a record of the total number of keno cards sold, segregated by card price, must also be maintained on a daily basis;(e) payout slips must be maintained by each keno caller for each work shift. It must also be initialed by the keno caller at the end of the shift. Prizes awarded for promotional games must be recorded on the payout slips. The slips must also be maintained as part of the operator's records for a period of three months;(f) for the purposes of calculating gross proceeds promotional game prizes must be subtracted from total payouts;(g) the ending bank balance less the days gross proceeds and any other adjustments must be used as the beginning balance for the next day; and(h) if a licensed premise has not kept records in the manner prescribed in these rules and no other records exist with which the department may calculate the gross keno proceeds, the department may estimate a tax using the best available method.(3) In addition to the records required to be kept under part 1 of this rule, the live bingo operator must maintain the following records:(a) a record of all bingo card purchases, detailing the number of cards purchased by type;(b) if the premise uses a cash register or other method of calculating cash on hand with which a tape record is maintained the tape record must be kept with the daily records;(c) payout slips must be maintained by bingo callers for each work shift. Prizes awarded for promotional games must be recorded on the payout slips but so designated for the purpose of calculating gross proceeds. The payout slips must be initialed by the caller at the end of his/her shift. The slips must also be maintained as part of the operator's records for a period of three months;(d) the day's gross proceeds must be reconciled with the ending bank balance. If, in the bank reconciliation process, the operator experiences a net cash overage or shortage in excess of 1% of the gross game income for a one-month period, the overage or shortage must be investigated. A record detailing the findings of the investigation must be maintained with other required records. For the purposes of calculating gross proceeds, promotional game prizes must be subtracted from the total payouts;(e) the ending bank balance less the days gross proceeds and any other adjustments must be used as the beginning balance for the next day; and(f) if records are not kept in the manner prescribed in these rules the department may estimate gross proceeds using the best available method.Mont. Admin. r. 23.16.2402
NEW, 1990 MAR p. 828, Eff. 4/27/90; AMD, 1991 MAR p. 1942, Eff. 10/18/91; AMD, 2009 MAR p. 2480, Eff. 12/25/09.23-5-115, MCA; IMP, 23-5-409, MCA;