Who counted as an agent, promoter, or house representative barred from playing bingo under RR 94-6?

Plain-English summary

South Carolina Revenue Ruling 94-6 explained who counted as an agent, promoter, or representative of a bingo house and therefore could not play at that operation.

The Department later expressly superseded this ruling with Revenue Ruling 94-10, which clarified the treatment of volunteer promoters and nonprofit members.

The ruling included the promoter, employees of the promoter or sponsoring nonprofit, contractors helping conduct the games, volunteers, officers, and anyone else who acted or had power to act for either organization. A nonprofit member who was neither an employee nor a bingo volunteer was not included merely because of membership.

Those covered people could not play at the location where they worked, volunteered, or held authority. A bus driver employed by the promoter or nonprofit also could not play there. An independent-contractor driver could play only if the driver did not otherwise help conduct the games.

Common questions

Q: Could an unpaid volunteer play at the same bingo operation? No, if the volunteer assisted with the bingo operation.

Q: Did every member of the sponsoring nonprofit count as a house representative? No. The ruling excluded a member who was neither employed by the organizations nor volunteering in the operation.

Q: Could an independent bus driver play? Yes under the ruling, but only if the driver was not an employee and did not otherwise help conduct the games.

Citations and references

• S.C. Code Ann. § 12-21-3320 (historical definitions of promoter, caller, house, and player)
• S.C. Code Ann. § 12-21-3410 (historical bingo play rules)
• Home Health Service, Inc. v. South Carolina Tax Commission, Opinion No. 24008 (S.C. Feb. 7, 1994)

Subject

Agent, Promoter or Representative of the House

Source

• Landing page: https://dor.sc.gov/advisory-opinion-search
• Original PDF: https://dor.sc.gov/sites/dor/files/policies/RR94-6.pdf

Original ruling text

SC REVENUE RULING #94-6 (TAX)

SUBJECT:

Agent, Promoter or Representative of the House
(Bingo)

EFFECTIVE DATE:

Applies to all periods open under the statute.

SUPERSEDES:

All previous documents and any oral directives in conflict herewith.

REFERENCES:

S. C. Code Ann. Section 12-21-3320 (Supp. 1993)
S. C. Code Ann. Section 12-21-3410 (Supp. 1993)

AUTHORITY:

S. C. Code Ann. Section 12-4-320 (Supp. 1993)
SC Revenue Procedure #94-1

SCOPE:

A Revenue Ruling is the Department of Revenue's official advisory
opinion of how laws administered by the Department are to be applied
to a specific issue or a specific set of facts, and is provided as guidance
for all persons or a particular group. It is valid and remains in effect
until superseded or modified by a change in the statute or regulations
or a subsequent court decision, Revenue Ruling or Revenue Procedure.

Questions:
1.

For purposes of the bingo law, what is meant by the phrase "agent, promoter or
representative of the house"?

2.

Can an "agent, promoter or representative of the house" play bingo at the location at which
such person works or is otherwise in a position of authority?

3.

Can a bus driver, who is hired by a bingo promoter or nonprofit organization to bring players
to the location to play bingo, play bingo at that location?

Conclusions:
1.

For purposes of the bingo law, a promoter is one who is hired to manage, operate or conduct
a bingo game for the nonprofit organization.

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An agent or representative of the house would include the promoter, employees of the
promoter or nonprofit organization, individuals under contract with the promoter or
nonprofit organization to assist in conducting the bingo games, persons who volunteer their
services with respect to the bingo operation, officers of the promoter or nonprofit
organization, or anyone who acts or has the power to act for the promoter or nonprofit
organization. An agent or representative of the house does not include a member of the
nonprofit organization who is not an employee of the promoter or nonprofit organization or
who does not volunteer his or her services with respect to the bingo operation.
2.

An "agent, promoter or representative of the house", as defined in Conclusion #1, can not
play bingo at a location managed by a promoter, or sponsored by a nonprofit organization,
for which such person works (whether or not paid) or has a position of authority.

3.

A bus driver, who is hired by a bingo promoter or nonprofit organization to bring players to
the location to play bingo, can not play bingo at that location if the driver is an employee of
the promoter or nonprofit organization. If the bus driver is not an employee but an
independent contractor, then the bus driver can play bingo provided he does not otherwise
assist the promoter or nonprofit organization in conducting the bingo games.

Facts:
Nonprofit organizations that conduct bingo games, and the promoters they contract with to manage
these games, hire or contract with many people in order to run a successful bingo operation. They
hire:
1.

"Runners" to sell cards to the players;

2.

"Callers" to randomly select the bingo balls and announce to the players the number
selected; and,

3.

"Drivers" to bring groups to the games that want to play bingo.

Nonprofit organizations and promoters also employ others to sell concessions, to manage the
operation's books, to clean the bingo hall, and to perform other duties as necessary. In addition,
members of the nonprofit organization may volunteer their services with respect to these and other
services needed to operate a bingo game.
Finally, corporate officers of the nonprofit organization and the promoter make decisions, enter into
contracts, and perform other duties with respect to the bingo game.
Discussion:
Article 23 of Chapter 21 of Title 12 of the South Carolina Code of Laws regulates the game of bingo
in this State. Specifically, the law sets forth who may establish a bingo operation, the licenses and
taxes that are due, how the game is to be played, and various other requirements.

2

Code Section 12-21-3410 establishes how the game of bingo must be played. The section states that
"[b]ingo is played by more than one player and a caller who is associated with the house." The
section further states specific duties of the caller and the players.
Code Section 12-21-3320 defines several terms used in the bingo law, and reads in part:

(4) "Promoter" means an individual, corporation, partnership, or organization
compensated either by salary or percentage of the games' proceeds or both to
manage, operate, or conduct the licensee's bingo game. The person hired under
written contract is considered the promoter.

(11) "Caller" means the house representative who is responsible for drawing bingo
balls and announcing to the players the result of each drawing.

(13) "House" means the nonprofit organization licensed with the commission.

(16) "Player" means one who participates in the game of bingo other than as an
agent, promoter, or representative of the house.
In Home Health Service, Inc v. South Carolina Tax Commission, Opinion No. 24008 dated February
7, 1994 the State Supreme Court, in considering "whether an employee of a bingo operator can
temporarily sit in for a player during the player's absence from
the game", held:
In construing a statute, the language used should be given its plain and ordinary
meaning. City of Columbia v. Moser, 280 S.C. 134, 311 S.E. 2d 920 (1983). The
construction of a statute by an agency charged with its administration is entitled to
the most respectful consideration and should not be overruled absent compelling
reasons. Emerson Electric v. Wasson, 287 S.C. 394, 339 S.E. 2d 118 (1986).
In construing the definition of a player, the plain meaning shows that a player is
someone other than an agent, promoter or representative of the house. Considering
that the employee fills in briefly for the player as a service of the house, the
employee is acting as an agent of the house. Such activity is prohibited by the
statute. Accordingly, appellant violated the Bingo Act by permitting employees to
substitute for players.

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Therefore, an agent, promoter, or representative of the nonprofit organization licensed to operate a
bingo establishment may not play bingo at the location for which they are an agent, promoter, or
representative.
Next we must determine who is an agent, who is a promoter, and who is a representative.
As cited above, the bingo statute defines the term "promoter" as "an individual, corporation,
partnership, or organization compensated either by salary or percentage of the games' proceeds or
both to manage, operate, or conduct the licensee's bingo game."
The statute, however, does not define "agent" or "representative".
One of the primary rules of statutory construction is that words used in a statute should be taken in
their ordinary and popular meaning, unless there is something in the statute which requires a
different interpretation. Hughes v. Edwards, 265 S.C. 529, 220 S.E.2d 231; Investors Premium
Corp. v. South Carolina Tax Commission, 260 S.C. 13, 193 S.E.2d 642. Also, where the terms of a
statute are clear and unambiguous and leave no room for construction, they must be applied
according to their literal meaning. Mitchell v. Mitchell, 266 S.C. 196, 222 S.E.2d 217; Green v.
Zimmerman, 269 S.C. 535, 238 S.E.2d 323.
The Second College Edition of the American Heritage Dictionary defines "agent" and
"representative" as follows:
agent

representative

1. One that acts or has the power to act. 2. One that
   acts for or as the representative of another; an
   insurance agent. ...
2. One that serves as an example or type for others of the
   same classification. 2. One that serves as a
   delegate or agent for another. ...

Therefore, an agent or representative of the house would include the promoter, employees of the
promoter or nonprofit organization, individuals under contract with the promoter or nonprofit
organization to assist in conducting the bingo games, persons who volunteer their services with
respect to the bingo operation, officers of the promoter or nonprofit organization, or anyone who acts
or has the power to act for the promoter or nonprofit organization. An agent or representative of the
house does not include a member of the nonprofit organization who is not an employee of the
promoter or nonprofit organization or who does not volunteer his or her services with respect to the
bingo operation.
SOUTH CAROLINA DEPARTMENT OF REVENUE
Columbia, South Carolina
March 23,
1994
For questions concerning bingo, contact John Taylor at (803) 737-4666 or John P. McCormack at
(803) 737-4438.
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