Supplier Record Keeping Requirements

PURPOSE: This rule describes the record keeping and record retention requirements for bingo suppliers licensed by the commission. (1) All records regarding the receipt of bingo products including bingo paper, pull-tabs, and bingo equipment from licensed manufacturers and the sale of these products to licensed Missouri operators, other licensed suppliers or operators, or suppliers in other states, shall be maintained. (2) All documents generated by the supplier with each order of product(s) from the manufacturer or each product sold to the operator must also be maintained. Documents such as order forms, bills of lading, or other documents must be retained with the invoice. (3) Suppliers shall record sales transactions of the products listed above on a preprinted or computer-generated serially numbered sales invoice. A minimum of three (3) copies of each invoice or two (2) copies and a payment stub are required. One (1) copy of the invoice shall be retained by the supplier. Two (2) copies or one (1) copy and the payment stub shall be sent to the operator with the order and/or billing. One (1) copy shall be retained by the operator, and one (1) copy or the payment stub shall be returned with the payment to the supplier. The date of the sale shall be evidenced by the date on the invoice. Voided invoices shall also be retained. (4) A sales invoice shall include: (A) The invoice number; (B) Date of sale; (C) License number and name of the operator; (D) Destination; (E) Total number of pull-tabs per deal, retail price per pulltab, and serial number of each pull-tab deal; (F) Total number of bingo cards, number of bingo cards on each sheet, number of bingo sheets in each packet, and serial number and color of the top sheet of each packet; (G) Serial number of each piece of bingo equipment and description of the equipment; (H) Applicable bingo tax(es) or fees; (I) Supplier name and license number; and (J) Other information may be substituted only if the supplier has received approval from the commission. (5) Credit for Returned Products—Suppliers will be allowed credit for returned products, if a credit memorandum has been received from the manufacturer. Credit memorandums shall be issued by suppliers to bingo operators for returned merchandise, which may be resold to another operator. The credit memorandum issued to the operator shall indicate the same type of information as the sales invoice. The amounts shall be shown as negative amounts for both the cost of the goods and the tax. When the items are resold to another operator, the total tax amount shall be on the sales invoice. When the supplier files the monthly report, the returned merchandise shall be shown as a negative amount. (6) Supplier to Supplier Sales—Suppliers will be allowed to make tax-free sales to other licensed suppliers, if a Bingo Resale Exemption Certificate is completed and signed by the seller and the purchaser. One (1) copy shall be retained by the seller, one (1) by the purchaser, and one (1) shall be filed with the commission. Sales invoices for supplier to supplier sales shall include the same information as invoices to operator sales. (7) All records, reports and receipts required by this rule or Chapter 313, RSMo shall be maintained for a period of three (3) years and stored by the supplier in such a manner as to be available for inspection upon request by the commission at no charge. (8) Suppliers are only allowed to buy bingo products from manufacturers licensed in Missouri and are only allowed to sell bingo products to suppliers or operators licensed in Missouri. Suppliers may, however, sell bingo paper to entities who are not licensed with the commission, if the paper is used for a free, no-charge bingo game. Prior approval must be obtained from the commission by the entity that is going to use the bingo paper each time a purchase of such items is made. The supplier must maintain a copy of the approval with the original invoice. The paper must be marked as prescribed by the commission, to reflect the paper may not be used in conjunction with a licensed bingo game. Suppliers are allowed to sell products tax free to suppliers or operators in other states (export sales), if the record keeping requirements listed in sections (2)–(4) of this rule are followed. Suppliers shall maintain a separate invoice file for all Missouri tax-exempt sales. If violations of this restriction or the other restrictions listed in this rule or Chapter 313, RSMo are identified by the commission, the supplier’s license could be subject to immediate suspension or revocation. (9) Damaged or obsolete returned products subject to the bingo taxes pursuant to Chapter 313, RSMo, which the supplier does not intend to resell must be itemized to include the applicable serial number(s), before it can be destroyed. A copy of the list must be filed with the commission. The destruction of the product(s) must be witnessed by commission personnel or the supplier must have obtained prior written approval from the commission before it can be destroyed. AUTHORITY: section 313.057, RSMo Supp. 2013, and section 313.065, RSMo 2000.* Emergency rule filed Dec. 15, 1994, effective Jan. 1, 1995, expired April 30, 1995. Emergency rule filed May 2, 1995, effective May 12, 1995, expired Sept. 8, 1995. Original rule filed Feb. 16, 1996, effective Aug. 30, 1996. Amended: Filed May 6, 1999, effective Dec. 30, 1999. Amended: Filed Oct. 1, 2001, effective May 30, 2002. Amended: Filed Dec. 1, 2004, effective June 30, 2005. Amended: Filed June 25, 2015, effective Feb. 29, 2016. *Original authority: 313.057, RSMo 1984, amended 1986, 1993, 1994, 1996, 2003, 2010 and 313.065, RSMo 1981, amended 1993, 1995.