AR Code § 26-57-402 (2020)
2020 Arkansas Code|Title 26 - Taxation|Subtitle 5 - State Taxes|Chapter 57 - State Privilege Taxes|Subchapter 4 - Coin-Operated Amusements|§ 26-57-402. Definitions

 As used in this subchapter:   (1)  (A) “Amusement device” means a coin-operated machine, device, or apparatus that provides amusement, diversion, or entertainment and includes without limitation such games as:  (i) Radio rifles;  (ii) Miniature football;  (iii) Golf;  (iv) Baseball;  (v) Hockey;  (vi) Bumper pool;  (vii) Tennis;  (viii) Shooting galleries;  (ix) Pool tables;  (x) Bowling;  (xi) Shuffleboard;  (xii) Pinball tables;  (xiii) Marble tables;  (xiv) Music vending phonographs;  (xv) Jukeboxes;  (xvi) Cranes;  (xvii) Video games;  (xviii) Claw machines;  (xix) Bowling machines;  (xx) Countertop machines;  (xxi) Novelty arcade machines;  (xxii) Other similar musical devices for entertainment; and  (xxiii) Other miniature games, whether or not the games show a score, that are not otherwise excluded in this subchapter.    (B) “Amusement device” does not include a machine, device, or apparatus that constitutes a casino-gambling-style game, including without limitation mechanical or electronic:  (i) Draw games;  (ii) Slot machines;  (iii) Roulette wheels;  (iv) Craps;  (v) Video poker; and  (vi) Casino-gambling-style games of any other type in which the outcome is determined substantially by chance;      (2)  (A) “Any money or property”, “other articles”, “other valuable things”, or “any representative of anything that is esteemed of value”, as used in the antigambling statutes, § 5-66-101 et seq., shall not be expanded to include:  (i) A free amusement feature such as the privilege of playing additional free games if a certain score is made on a pinball table or on any other amusement device described in this section; or  (ii) Toys, novelties, candy, or representations of value redeemable for those items that are won by the player of a bona fide amusement device that rewards players exclusively with merchandise limited to toys, novelties, or representations of value redeemable for those items that have a wholesale value of not more than ten (10) times the cost charged to play the amusement device one (1) time or five dollars ($5.00), whichever is less.    (B)  (i) If a player accumulates redeemable representations of value, a toy or novelty having a wholesale value of more than twelve dollars and fifty cents ($12.50) or, for a toy or novelty offered in a facility described in subdivision (2)(C) of this section, five hundred dollars ($500), shall not be given or awarded by an amusement device operator or redeemed by a player.  (ii) The toys and novelties shall be displayed in a single area on each premises.  (iii) Furthermore, each operator shall maintain records validating the wholesale value of the toys and novelties.  (iv) The toys and novelties shall be located solely on the premises where the amusement device is played.    (C) If a player accumulates redeemable representations of value, a toy or novelty with a wholesale value of no more than five hundred dollars ($500) may be given or awarded by an amusement device operator or redeemed by a player only if the toy or novelty is offered in a facility that:  (i) Is in excess of sixteen thousand square feet (16,000 sq. ft.);  (ii) Offers a full-service restaurant menu during all hours of operation;  (iii) Offers at least one hundred (100) amusement devices; and  (iv) Is located in a county that:  (a) Has a population that exceeds three hundred fifty thousand (350,000) and is traversed by a navigable river; or  (b) Has a population that exceeds two hundred thousand (200,000) and adjoins two (2) state lines.      (D)  (i) A toy, novelty, or candy given or awarded to a player as a reward for playing an amusement device shall not be traded, redeemed, sold, leased, or otherwise exchanged for money, property, or other valuable thing:  (a) To any other person located on the premises who is associated with an amusement device operator; or  (b) For the purpose of circumventing the antigambling statutes stated in § 5-66-101 et seq.    (ii) A toy, novelty, or candy given or awarded to a player shall not be subsequently re-awarded to another player by the amusement device operator;      (3) “Candy” means a food item that:  (A) Has sugar as its principal ingredient; and  (B) Does not contain alcohol;    (4) “Coin-operated” means a machine, device, or apparatus that is operated by placing through a slot or any kind of opening or container a coin, slug, token, or other object or article necessary to be inserted before the machine operates or functions but does not include a machine or device that is classified by the United States Government as requiring a federal gaming stamp under applicable provisions of the Internal Revenue Code;  (5) “Novelty” means an article of trade whose value is chiefly decorative, comic, commemorative, or the like, and whose appeal is often transitory;  (6) “Person” means an individual, firm, association, company, partnership, limited liability company, corporation, joint-stock company, club, agency, syndicate, the State of Arkansas, county, municipal corporation or other political subdivision of this state, receiver, trustee, fiduciary, or trade association; and  (7) “Toy” means an article that has a wholesale value that does not exceed five hundred dollars ($500) and that is prized as a souvenir or for some other special reason, including without limitation a stuffed animal, game, or electronic device.