What physical, numbering, sales, and recordkeeping standards does SC Revenue Ruling 14-3 set for bingo paper?

Plain-English summary

South Carolina Revenue Ruling 14-3 sets product-control standards for printed bingo paper used in the state. The rules are designed to protect card integrity, support bingo-tax administration, and allow every card and set to be tracked and verified.

The ruling applies to printed bingo paper. It says the standards for nonprinted bingo tickets used with electronic dabbers are addressed separately in RR 04-11.

Card and paper requirements

Bingo paper should be heavy and durable enough to keep numbers legible, prevent ink bleed-through, and withstand normal storage and handling.

Each card must follow the statutory five-by-five B-I-N-G-O layout, number ranges, free center space, and no-duplicate-number rule. Numbers must be randomly assigned. Each card on a sheet must show the sheet's dollar face value, such as “3 on $1” for a three-card sheet sold for one dollar.

Identification and control numbers

The ruling requires:

• the manufacturer name, logo, or identifying mark on every sheet;
• permutation or “perm” numbers displayed at least in the center square or bottom-right corner;
• consecutively used serial numbers that are not duplicated until all available numbers have been used; and
• an approved South Carolina-shaped emblem in the free space on paper sold to licensed South Carolina bingo operators.

Paper carrying the state emblem could be sold by a licensed manufacturer only to a licensed South Carolina distributor, and distributors could sell it only to licensed South Carolina bingo organizations or promoters.

Sets and prepackaged paper

A distributor had to sell a complete set of 9,000 cards, or another Department-approved set, at one time, on one invoice, to the same licensed organization. Partial-set sales to different organizations or across multiple invoices were prohibited.

Prepackaged sheets generally needed a common serial number. A manufacturer unable to produce that format could seek written approval for random serial numbers, but the manufacturer and distributor had to record every serial number and the distributor had to list them on the voucher before Department approval.

Packaging, records, and verification

Booklets, pads, or packets should be glued rather than stapled so sheets can be removed without damage. Cartons should identify the product type, quantities, series and serial numbers, case count, paper cut and color, and product code; barcodes could provide that information.

Manufacturers and distributors had to retain records of their bingo-paper sales, while licensed organizations and promoters had to retain corresponding purchase records.

The manufacturer also had to supply and certify a verification book, master control book, electronic database, or equivalent showing the number pattern on every card in each permutation. Changes or new permutation ranges had to be supplied to the Department's Bingo Section.

Common questions

Q: Can a distributor split one set among several organizations?

A: No. The ruling requires the entire set to be sold at the same time, on one invoice, to one licensed organization.

Q: Must every sheet carry a manufacturer identifier?

A: Yes. The manufacturer name, logo, or identifying mark must appear on each sheet.

Q: Can prepackaged sheets have different serial numbers?

A: Only under the ruling's written-approval and detailed recordkeeping conditions.

Q: Does RR 14-3 contain the electronic bingo-ticket standards?

A: No. It directs readers to RR 04-11 for nonprinted bingo tickets used with electronic dabbers.

Citations and references

• S.C. Code Ann. § 12-21-4220 (Department design and requirement authority)
• S.C. Code Ann. §§ 12-21-3920 and 12-21-3990 (card definitions and play provisions cited by the ruling)
• S.C. Code Ann. Title 12, Chapter 21, Article 24 (Bingo Act)
• SC Revenue Ruling #99-13 (superseded by this ruling)
• SC Revenue Ruling #04-11 (nonprinted bingo-ticket standards identified by this ruling)

Subject

Bingo Paper Standards

Source

• Landing page: https://dor.sc.gov/advisory-opinion-search
• Original PDF: https://dor.sc.gov/sites/dor/files/policies/RR14-3.pdf

Original ruling text

State of South Carolina

Department of Revenue
300A Outlet Pointe Blvd., P.O. Box 125, Columbia, South Carolina 29214
Website Address: http://www.dor.state.sc.us

SC REVENUE RULING #14-3

SUBJECT:

Bingo Paper Standards
(Bingo)

EFFECTIVE DATE:

July 1, 2014

SUPERSEDES:

SC Revenue Ruling #99-13 and all previous documents and any
oral directives in conflict herewith.

REFERENCES:

S. C. Code Ann. Section 12-21-4220 (2014)

AUTHORITY:

S. C. Code Ann. Section 12-4-320 (2014)
S. C. Code Ann. Section 1-23-10(4) (Supp. 2012)
SC Revenue Procedure #09-3

SCOPE:

The purpose of a Revenue Ruling is to provide guidance to the
public. It is an advisory opinion issued to apply principles of tax
law to a set of facts or general category of taxpayers. It is the
Department’s position until superseded or modified by a change in
statute, regulation, court decision, or another Departmental
advisory opinion.

Bingo Paper Standards
Introduction:
Article 24 of Chapter 21 of Title 12 of the South Carolina Code of Laws governs the game of
bingo and is administered by the Department of Revenue. Code Section 12-21-4220 states that
bingo cards must meet the design and requirements of the Department. The regulation of bingo
paper (sheets of paper that contain one or more bingo cards) is critical to the administration of the
Bingo Act and the payment of bingo tax.
Therefore, the department will accept bingo paper meeting the following standards for use in
South Carolina.

1

Definitions:
The following definitions are provided for purposes of the bingo paper standards outlined below.
"Card" means a printed or nonprinted design on which there are arranged five horizontal
rows and five vertical columns forming twenty-five squares. Numbers are printed in
twenty-four of the squares, and the term "free", "free square", or " free space" is printed in
the square or space located in the center of the card. The five columns are denominated
from left to right by the respective letters of the word "B-I-N-G-O". Each square in the "B"
column contains a number from one through fifteen inclusive; each square in the "I"
column contains a number from sixteen through thirty inclusive; except for the center
space which is marked as free, each square in the "N" column contains a number from
thirty-one through forty-five inclusive; each square in the "G" column contains a number
from forty-six through sixty inclusive; and each square in the "O" column contains a
number from sixty-one through seventy-five inclusive. A number may not appear twice on
the same card. A nonprinted design is a bingo ticket for use only with an electronic dabber.
The bingo ticket is a perforated two-part ticket and must bear a sequential serial ticket
number, the South Carolina state seal, denomination, number of faces authorized for
download or activation, the Department of Revenue issued organization license number,
and other information that may be required by the department. The ticket must have
designated blanks for entry of the date sold and electronic dabber unit number supplied.
Bingo tickets must be printed by a bingo ticket manufacturer licensed by the department
and must be sold only by a distributor licensed by the department. Bingo tickets must meet
the design and requirements of the department. Bingo tickets may be used only by a
promoter or nonprofit organization if the ticket has been approved by the department. A
license for a bingo ticket manufacturer costs one thousand dollars. A manufacturer of bingo
cards or electronic dabbers or site systems, a distributor, a promoter, or a nonprofit
organization may not have an interest, direct or indirect, in a bingo ticket manufacturer.
The bingo ticket manufacturer must maintain records as required by the department (Code
Section 12-21-3920(3)). 1
“Perm” means a defined collection of unique bingo cards. A 9,000 face bingo permutation
contains 9,000 unique bingo cards. For example, the bingo card numbers will range from 1
to 9,000; 9,001 to 18,000; 18,001 to 27,000.
“Serial number” means a unique number printed by the manufacturer on each card in a
set.
“Series number” means the number of unique card faces contained in a set. A 9000 series,
for example, has 9,000 unique faces.

1

The standards for a nonprinted design, a bingo ticket, are not listed in this document. The standards for a bingo
ticket can be found in SC Revenue Ruling #04-11.

2

“Set” means a specific grouping of bingo cards offered for sale by a manufacturer.
“Sheet” means a single page of bingo paper containing one or more cards or faces.

Bingo Paper Standards:
•

The paper used should be of sufficient weight and quality to:
o

allow for legible numbers and prevent ink from spreading or bleeding through a
packet thereby obscuring other numbers on other bingo paper sheets; and

o

maintain its original condition and not deteriorate when properly stored and
normally handled and protected from environmental elements.

•

The design of each card on a bingo sheet must be consistent with the definition of “card”
in Code Section 12-21-3920, the applicable provisions related to the manner of play in
Code Section 12-21-3990, and any other applicable provisions of the bingo law (Title 12,
Chapter 21, Article 24).

•

Numbers printed on the card must be randomly assigned.

•

The dollar face value of a bingo sheet must be printed on each card of the sheet. For
example, if a sheet contains 3 cards and the sheet is sold for $1, then each card on the
sheet must state the dollar face value as “3 on $1” or similar language to identify that the
sheet contains 3 cards and the sheet is sold for $1.

•

Any prepackaged paper must have a common serial number for all the sheets in the
package; except prepackaged paper may have random serial numbers for sheets in the
package if all of the following conditions are met:
The manufacturer must seek written approval from the Department to sell in
South Carolina prepackaged paper with random serial numbers. The
determination as to whether a manufacturer may sell into South Carolina
prepackaged paper with random serial numbers for sheets in the package is
based solely on its manufacturing operation’s ability or inability to only
produce prepackaged paper having a common serial number for all the sheets
in a package.
The manufacturer must record all serial numbers in a package.
The distributor must record all serial numbers in a package.
The distributor must list on the voucher each serial number prior to approval
by the Department.
3

•

Perm numbers should at least be displayed in the center square and/or the bottom right
corner of each card.

•

The manufacturer’s name, logo or identifying mark must be placed on each sheet.

•

Serial numbers used by the manufacturer must be consecutively numbered, and the
numbers must not be duplicated until all available serial numbers are used. All paper
sold to licensed South Carolina bingo operators must have a state emblem, as shown
below, printed on the face of each sheet. This emblem must be the outline of the state of
South Carolina and must be placed in the free space. The design and placement of this
emblem must be approved by the Department. The sale of paper with the South Carolina
emblem by a licensed manufacturer to a person other than a licensed South Carolina
distributor is prohibited. Licensed South Carolina distributors may only sell this paper to
licensed South Carolina bingo organizations or promoters.

•

A distributor must sell paper in sets of 9,000 or any other sets approved by the
department. A distributor must sell an entire set at the same time, on the same invoice, to
the same individual licensed organization. The distributor cannot sell partial sets to
different organizations, nor can they sell a set over several invoices or periods of time.

•

Bingo paper sheets assembled in booklets, pads or packets by a manufacturer should be
glued, not stapled. The glue must be manufactured and applied so that no bingo card or
bingo paper sheet is defaced upon removing a sheet, and the sheets can be separated.

•

The exterior of each carton of bingo paper should include a listing of the following
information:
a) type of product
b) quantity of booklets or loose sheets
c) series numbers
d) serial number
e) quantity of cases
f) cut of paper
g) color of paper
h) product code or identifier

4

Bar coding or a combination of bar-coding and labeling could be used to provide all of
the above information.
Bingo manufacturers and distributors must keep proper records of the above information
with respect to all sales of bingo paper. Licensed organizations and promoters
conducting bingo games must keep proper records of the above information with respect
to all purchases of bingo paper.
•

A valid verification system, such as a verification book, master control book or an
electronic database, or version thereof, must be provided and certified by the
manufacturer as a true and accurate illustration of the pattern of numbers on every card in
each permutation to be used to verify a valid card.

•

If, at any time, a change in the permutation(s) or the master control book occurs, or
additional permutation ranges are introduced, the master control book, or any electronic
version thereof, is to be supplied to the Bingo Section of the SC Department of Revenue
at: SC Department of Revenue, Bingo Section, 300A Outlet Pointe Blvd., Columbia,
South Carolina 29211.

Note: The standards for a nonprinted design, a bingo ticket, are not listed in this document. The
standards for a bingo ticket can be found in SC Revenue Ruling #04-11.
SOUTH CAROLINA DEPARTMENT OF REVENUE

s/Rick Reames III
Rick Reames III, Director
August 27
, 2014
Columbia, South Carolina

5