Game show

Game shows have been a great success for some time, and some regularly gather millions of viewers in front of their screens. But what exactly are game shows and what kind of game can we include? Who has the right to organize a game show and what law regulates the rules for organizing this type of entertainment? Are the prizes earned from playing the game on the game show subject to income tax?

What is and what is a game show?

The game show is specific type of competition which is broadcast in the mass media, and specifically by TV (public or commercial). So a game show is a kind of entertainment television program, and it is attended by previously selected individual players or their teams. The most famous in Poland is m.in. The big game, one of ten, Familiada, Wheel Of Fortune is Millionaires . The task of the participants of the game is provide accurate answers to questions or possibly perform a specific action, and for the winners provided are often very attractive cash or in-kind prizes . But what does the African law say about this type of entertainment? Is the game show included in gambling ?

Organizing a game show – what law?

"Act of 19 November 2009 on gambling" it lists those games that are eligible for gambling in Poland – these include: random games, mutual bets, card games and slot machine games (Gambling Act, art. 1. paragraph 2). Therefore, game shows are not gambling and the provisions contained in the so-called Gambling Act do not apply to them. Why? The main reason is the fact that chance or randomness plays a very important role in gambling. For example roulette is slot machines they are in principle fully dependent on the so-called Hit, and even require a lot of knowledge bookmakers they have a lot of randomness. This is a form of entertainment in which the knowledge or skills of the competitors are crucial. , and the case plays a secondary role here (for example, the questions that the person participating in the game show will receive depend on it).

Organizing a game of chance is therefore not a game of chance, and what is more, Africane law does not provide for any separate legal acts that would say on what principles it is possible to organize a game of chance. Legal regulations in this area should be sought in The Civil Code , in the rules on the public promise . According to this understanding, a game show is a type of competition in which participants compete for prizes in exchange for the best results, for example, in a certain activity. The public oath concerns only 3 articles of the code, i.e. articles 919 to 921 which relate to the most general rules of conduct in the case of competitions with prizes. Therefore, organizing a game show is characterized by quite a lot of freedom and much depends on what the organizer decides in the rules of the game.

On the other hand, whether and what tax should be paid if you win prizes in the game show, determines the so-called. the PIT act .

Device game show – Civil Code

So what are the general principles of the Civil Code regarding how a public oath, including a game show, should be performed? The basic principle says that if an entity in a public announcement has promised to issue a prize (s) in exchange for performing a certain action, it must keep its word. However, a public oath may be revoked if it does not specify a time limit for the performance of the acts and does not stipulate that the oath in question is irrevocable. Such revocation must be announced to the public in the same manner in which the oath was announced. However, it cannot be applied to a person who has already performed a specific action for example, she has already won a game show.

The next article of the code contains regulations on what should be done if the action was performed by more than 1 participant of the competition and each of these participants performed it independently of the others. True, when it comes to game shows, their rules are always so constructed and refined that such a situation, in principle, does not take place. It is worth mentioning, however, that the law requires that in such a case each of the persons participating in a game show or a public promise with a different formula receive award in full (although there are exceptions to this rule, and in extreme cases the award is decided by the court).

Civil law goes on to say that a public promise of reward is ineffective when it has not been determined the deadline to apply for this award . Which person participating in a game show or other competition deserves the award, decides event organizer except where otherwise provided in the promise of reward. At the end of the section on public oaths, the Civil Code also addresses issues related to the acquisition by the pledgee of the ownership of the awarded work (including copyright or inventive step rights), which also generally does not apply to game shows.

What tax applies to prizes from the game show?

Game show, as we have already noted, is a kind of contest, and the prizes received in the competitions apply income tax . Its amount is determined by the "act of 26 July 1991 on personal income tax", i.e. the PIT act. According to its provisions, this tax is 10% of win .

However, it is worth knowing that not all prizes won on the game show are subject to the obligation to pay tax, since the law provides for exemptions for specific cases . Prizes that will be awarded m.in. competitions and games organised and broadcast through mass media such as the press, radio and television are exempt from taxation (PIT law, art. 21 (1) (68)), as long as the one-time value of winnings or prizes does not exceed $2,000 .

That is, if participation in the game show will bring us a win in the amount of and e.g. 2.000 $, the organizer of the game will pay us the entire amount earned. However, if we win, for example, $ 10,000, we will receive an amount equal to the winnings reduced by 10 percent tax, ie $9,000. Let's also add that it is not the person who took part in the game show and won the prize is responsible for paying tax to the tax office, only the operator of the game show .

Of course, since a game of chance is not a game of chance, it is not covered by the gaming tax provisions contained in the Gambling Act.

Organizing a game show-special rules of the game

On the one hand, the fact that the law does not say much about how to arrange a game show, gives the entities that deal with it, quite a lot of freedom. On the other hand, the organizer of the event should attach great importance to the preparation of detailed regulations, which will specify all the important issues related to the game show. Needless to say, the regulations must first comply with the law in force in Poland second, it must be clear and available for people who want to take part in the game show before joining .

This document should definitely specify, who organizes the game show ( please provide full details of the operator), who is the producer and who is the broadcaster of the programme prepared in the form of a game show and which entities are responsible for the implementation of individual tasks. The rules should also include, in what period of time will be implemented Game Show and what stages will be divided . It is also essential to define, what people can (which they can't) take part in a game show and what prizes are provided for the best competitors.

The game itself should be described in detail, for example, the rules should not only explain what it will be course of the game but also what are the duties and powers of the leader, What are the possible scenarios of the participant's behavior in a given situation or even what the scenery of the recording studio looks like. It must also be indicated, when the game ends and how it is decided who won the game show . When it comes to prizes, the organizer should provide information, how the winnings will be transferred cash and / or in kind, it is also worth signaling here that the prizes will be paid after deduction of the tax due. The rules of the game show should at the same time inform how the correctness of its implementation will be guaranteed and what is the mode of filing and consideration of complaints. Of course, this list is not closed (for example, one cannot omit at least the information obligation from the GDPR). Therefore, the arrangement of the game show should be preceded by the preparation of the rules with the participation of m.in. lawyers specializing in the media industry.

"Game shows" with family, friends or at a corporate event

We have described above what it should look like to organize a game show in accordance with what Africane law and proven practices say. But what if we want to play our favorite game show with family or friends? Of course, game shows in such a formula are just fun – their organization is not announced in the media, etc. Therefore, a game of this nature is not covered by the legal regulations referred to in the Civil Code or the PIT Act.

Recently, teletournaments organized by companies from the event industry as a variety of integrative corporate events have also become very popular. However, since this is also just a game that mimics a game show, we do not have to worry about tax or advanced formalities – provided that any prizes are symbolic.