Legal Issues of Online Raffles for Nonprofits in the US and Canada are listed here.
A winner is determined by randomly drawing a ticket from a container and the prize is awarded.A license is required for most drawings.If your organization would like to hold a raffle, a 50-50 drawing, or a drawing for a door prize, each of these events requires a license.
A qualified organization can apply for a license to sell tickets.The cost is$15 for up to three drawing dates and $5 for every additional date if there is no more than $500 in prizes.The license costs $50 per drawing date to be able to award an unlimited amount of prizes.Along with the appropriate fee, print off and mail it.
Inform our office in writing, contact all ticket buyers, and provide a refund if you want to cancel a raffle.Inform our office in writing if you have pre sold tickets and the drawing is not going to happen.When you have a new date, please state in your notification that you will contact us in writing.Contact all ticket buyers to let them know that their tickets will be valid for the new drawing.You need to change the drawing date on your tickets if you want to sell more.
The guide helps the organization apply for a license and prepare for the event.