Our squadron wants to hold a raffle, what should we consider?

This type of fundraising can be a bit complicated as each state has different rules and regulations regarding raffles or “charitable gaming”. Always get permission from your Wing Commander who may involve the Wing Legal Officer for review. Here are a few considerations:

Consider if a local or state permit is required
Some states only allow one raffle a year
Avoid online ticket sales
Cash prize raffles or 50/50 raffles are not allowed in many states
Tax implications on prizes over $600, 300x amount of wager and/or $5,000 - special form and tax withholding. This is the area of greatest risk to a unit, if taxes are not held or collected from the winner then the unit must pay them.
Prize Winner Certification may be required

Consider alignment with CAP core values – what would you allow a group to raffle? Guns, alcohol, tobacco-related products, etc should be avoided. For more information, click here.

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