Raffle Activity Packet. Thank you for helping kids!

Transcription

1 Raffle Activity Packet Thank you for helping kids!

2 Licensing Requirements Guilds are able to conduct raffles because the Guild Association purchases a gambling license each year that covers all guilds. Please contact the Guild Association for a copy of this license to display at your event. Local requirements may include: If your raffle event nets over 10,000 then local taxes may be due Notify local police agency at least five days prior to conducting the raffle Contact the Guild Association to see if either of these apply to your guild. Ticket Requirements If the winning raffle ticket will be drawn on the same day and in the same location as all tickets are sold, roll tickets may be used. They must meet these criteria: Consecutively numbered Two-part tickets with duplicate numbers Maximum price 25 each All tickets must be priced the same (no discounts for volume purchases) If the tickets are sold at multiple locations on multiple dates, then tickets must be pre-printed with the following information: Cost per chance Date/time/location of drawing Description of all prizes Whether purchaser must be present to win Notation that proceeds benefit Children s Hospital Two-part tickets with duplicate numbesr When multiple prizes are offered, participants must be informed of all prizes. Remember that all printed material representing Children s Hosptial must be approved by the Guild Association prior to final print. Other Requirements All net proceeds must be sent to the Guild Association Only guild members can handle or sell tickets Members cannot be paid for working the event No liquor, tobacco or firearms for prizes Records must be kept for at least three years after the drawing (see raffle report) Prizes must be purchased/donated prior to the drawing

3 IRS Reporting Requirements Any winner of a raffle prize valued at 600 or more must be reported to the IRS. Each winner meeting this threshold must submit a completed W-9 form to the guild, which then is to be forwarded to the Guild Association along with the Raffle Report. The Guild Association will then file a W-2G, when appropriate, at the end of the calendar year with the IRS and send a copy to the winner(s). In this packet is a blank W-9 Form, or you can call the IRS office at for more information. The following information must be collected from the winner: Winner s name/address/social Security number Raffle prize amount (or Fair Market Value) Number of tickets purchased by the winner Price per ticket If the guild holds a raffle with a prize valued at 5,000 or more, the guild is responsible to collect 25% of the value of the raffle prize prior to awarding the prize. For example, if you hold a raffle with the top prize being a car worth 25,000, you will need to collect 6,250 from the winner and forward the check to the Guild Association with a W-9 form before you can award the car. The Guild Association recommends that guild raffle prizes are valued at 4,999 for this reason. You must contact the Guild Association for further instructions if this is being considered. Raffle Report The Guild Association must file a Raffle Annual Activity Report with the Washington State Gambling Commission each year. Therefore, we require all guilds that hold raffles, regardless of revenue generated, to submit the following information: Completed Raffle Report for each raffle held Copies of purchase invoices for raffle merchandise Name and address of donors for any raffle merchandise, including fair market value of the merchandise Completed W-9 for eligible winners All winning tickets (both parts) All unsold pre-printed tickets (not unsold roll tickets - they may be reused) All validated bank deposit slips for raffle deposits Copies of purchase invoices for raffle tickets and other raffle expenses

4 Important Things to Know About Raffles Raffles are fun, easy and quick sources of revenue. Before you schedule your next raffle, please review the following information. 1. Children s Hospital Guild Association holds a raffle license for all raffles conducted by our guilds. 2. Please fill out a Raffle Report each time you hold a raffle. 3. If the raffle prize is valued at 600 or more, the winner must complete IRS Form W9. If the raffle prize is valued at 5,000 or more, please contact the Guild Association for specific instructions before your raffle. 4. Liquor, tobacco and firearms cannot be offered as raffle prizes. 5. Maximum ticket price is Ticket prices are non tax deductible. 6. By Washington State law, a special drawing involving a suggested donation to be entered constitutes a raffle and the non tax deductible entry price cannot exceed per ticket. There can be no donation included in a raffle entry. 7. All chances must be sold for the same price. Example: If tickets are priced at 1 each, tickets cannot also be sold 6 for 5.00 as an incentive for participants to purchase more. While some forms of raffles may promote stacking tickets this is not the policy of the Guild Association. 8. Tear tickets may be used only if the raffle prize is awarded the same day the tickets are sold. 9. If raffle tickets are sold at multiple locations during a set period of time, each raffle ticket must include the following information: Date, time and location of drawing Cost per chance Notation that proceeds benefit Children s Hospital Description of the prize(s) Notation as to whether or not the purchaser must be present to win 10. Tickets must have a stub with a number that matches the ticket number. 11. The Guild Association discourages Best of Live raffles for the following reasons: No tax-deduction for the winner as raffle tickets are non tax deductible. The winner could not select a wine or alcohol related package as their prize. If the value of the prize selected exceeds 4,999, the winner must pay 25% of the value in income tax before they can claim the prize. Please call the Guild Association at for additional help and information.

5 Raffle Report Form Guild Name: Date of Raffle: Ticket starting number: Ticket ending number: Attach unused pre-printed tickets Total tickets sold: Cost per ticket: Total Revenue: Attach copies of bank deposit receipts List of Prizes Attach copies of purchase invoices or complete back for donor information Item Purchased or Donated? Cost or FMV Total value of prizes:

6 List of Winners Attach both portions of winning tickets No. of Tickets Name Address Prize Value Purchased List of Expenses Attach copies of receipts or invoices Item Cost Item Cost Prize Donor Information Name Address Prize Description FMV Date Donated RAFFLE REPORT MUST BE SUBMITTED WITHIN 30 DAYS OF EVENT Questions? Contact the Guild Association at (206)