Raffle Laws by State 2024

Raffle laws vary from state to state, with some states allowing certain types of raffles under specific conditions while others outright prohibit them. Here are some interesting facts about raffle laws across different states in the U.S.:

1. Legal vs. Illegal: States like Alaska, Arizona, Colorado, and others permit raffles under certain conditions, while states like Alabama, Florida, Hawaii, and others consider raffles illegal under their laws.

2. Licensing Requirements: In states where raffles are legal, organizations typically need to obtain licenses or permits from relevant authorities before conducting raffles. For example, California requires eligible tax-exempt nonprofit organizations to obtain a raffle permit number from the Attorney General's Registry of Charitable Trusts.

3. Restrictions on Prizes: Some states have specific regulations regarding the types of prizes that can be offered in raffles. For instance, Connecticut prohibits cash prizes, alcoholic beverages, or prizes redeemable for cash, while Maryland allows charitable organizations to conduct raffles of real property.

4. Nonprofit Organizations: Many states limit raffle activities to qualified nonprofit organizations. These organizations must meet certain criteria and adhere to specific regulations outlined in state laws.

5. Prohibitions on Cash Prizes: Several states prohibit cash prizes in raffles and restrict prizes to merchandise, tangible personal property, or nonrefundable tickets for merchandise or services.

6. Regulation by State Agencies: Raffles are often regulated by state agencies tasked with overseeing gambling or charitable gaming activities. These agencies set guidelines, issue licenses, and ensure compliance with applicable laws and regulations.

7. Exceptions and Exemptions: Some states allow exemptions for certain types of organizations or activities. For example, Missouri permits recognized charitable or religious organizations to sponsor raffles and sweepstakes under certain conditions.

8. Penalties for Violations: States that regulate raffles typically impose penalties for violations of raffle laws, including fines and potential legal consequences for non-compliance.

Understanding the raffle laws in your state is crucial for organizations planning to conduct raffles as part of their fundraising activities. Compliance with these laws ensures legality and prevents potential legal issues down the line.