Who Can Apply for a Raffle Permit
Volunteer fire companies, veterans’ organizations, religious or charitable organizations, and fraternal societies that have been in existence a minimum of two years may apply for a raffle permit, provided:
- The net profits from permitted raffles are used solely for the achievement of the purposes of the organization as described in the organization’s by-laws.
- At the time of application, the Internal Revenue Service (IRS) recognizes the organization as a charitable organization as described in Section 170 of the Internal Revenue Code.
You must receive your Raffle Event permit before advertising or selling tickets for the raffle.
When Raffle Permit Is Required
Qualified charitable organizations must obtain a raffle permit if any of the following applies:
- A raffle ticket price is more than $5 for a single drawing for prizes, OR
- A raffle ticket price is more than $15 for a series of drawings for prizes occurring on a periodic schedule, OR
- The total retail cash value of the prize(s) to be awarded is $5,000 or more
If you are a qualified charitable organization and your raffle ticket price is $5 or less and the total retail cash value of prizes to be awarded is less than $5,000, STOP. You are not required to obtain a raffle permit from the Board of Charitable Gaming.
Limitations on Raffle Drawings
- Raffle drawings must conclude by 1:00 a.m.
- Your organization must provide IRS form W2-G to any winners of prizes valued at $600 or more.
- Your organization must withhold income tax for any prize valued at $5,000 or more.
- If for any reason your permitted raffle is not completed and a prize is not awarded on the approved drawing date, your organization must take all steps necessary to notify ticket purchasers of that fact and return all money received from ticket purchasers within 30 days.
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Information on How to Apply for a License in DELPROS
All applications are submitted our online system DELPROS. We no longer accept paper applications.
PRIOR TO APPLYING
In order to apply for a license or submit a service request, you must first have a DELPROS user account. To LOG IN or CREATE a DELPROS (Delaware Professional Regulation Online Services) user account:
- Go to: https://delpros.delaware.gov/OH_HomePage.
- Click GO on the Apply/Manage a License and Service Requests tile.
- If you do not have a DELPROS user account, click the REGISTER button on the left side of page for NEW USERS.
- If you already have a DELPROS user account, enter your email address and password on the right side for EXISTING USERS and click the LOGIN button.
DELPROS allows you to save your incomplete application and return to it later to finish the process. You only have six (6) months to submit your application once you begin.
- If you do not submit your application within six months of starting it, you will be required to restart the entire online application again.
You may check the status of your application online throughout the entire application process by using the “View Application Status” feature in DELPROS on your e-License dashboard.
KNOW YOUR REQUIREMENTS AND COLLECT YOUR DOCUMENTS
- Know the requirements for the license you are pursuing.
- Request and gather all documents required to upload on the Attachments page. All information and forms are located on your profession’s webpages.
ATTACHING AND ACKNOWLEDGING DOCUMENTS
On the ATTACHMENTS page of your application, you may be instructed to:
- either “attach” or “upload” the required document(s) directly to your application. This means you will find the document(s) saved on your computer or device and upload it to your application.
- click “acknowledge” . This means you will either have to mail the documents yourself or request the “third-party” mail the document(s) directly to the Board office.
- Examples of “third-party forms” are transcripts from schools, employment verifications from a supervisor, and license verifications from another state.
- Forms requiring a supervisor signature, seal, or notary may have to be MAILED to the Board office directly UNLESS the document specifically indicates to UPLOAD the document.
The requirements for this license type are provided in the following section(s).
Requirements
In addition to submitting the application and fee in DELPROS, you must submit:
- A signed letter from the national or parent organization on its letterhead, specifically stating that your chapter is properly affiliated, AND
- A current copy of the parent organization’s IRS group exemption letter dated within the past 12 months if you are relying on a group exemption letter issued to a national or parent organization.
- A letter from the premises owner (on owner’s letterhead) allowing your organization to hold its event(s) on a specific date, OR
- A copy of your lease or rental agreement if the raffle drawing will be held at any location other than the organization’s physical Delaware address.
The Board reserves the right to accept or reject any application for the conduct of a function on specially leased or donated premises.
- An Addendum A: Raffle Prizes & Values Record form. The retail cash value must be entered for each prize listed on the form. You can not enter “varies,” “50/50,” “depends on the number of players” or any other indeterminate amount on this form. It will result in a delay in processing and possible denial of your application.
- A notarized letter designating the new Record Keeper if the Record Keeper has changed since your last raffle application. The letter must grant the Record Keeper the authority to submit raffle applications on behalf of the organization and to be responsible for maintaining complete and accurate financial records. The letter must be on your organization’s letterhead and signed by an officer of the organization. For more information on governing raffles, see the Board‘s Rules and Regulations.
Requirements for First-Time Raffle Permit Applicants
In addition to submitting the application, fee, and supporting documentation required in the previous section, in DELPROS, you must also submit:
- Documentation from the (IRS) dated within the past 12 months, showing proof of the following:
- organization’s legal name
- physical Delaware address
- EIN or Federal ID Number
- 501(c) IRS determination
- A copy of your organization’s formation documents (e.g. Articles of Incorporation, By-Laws, Constitution, Charter, etc.). The documentation submitted must include your organization’s purpose and/or mission statement.
- A notarized letter designating the new Record Keeper if the Record Keeper has changed since your last raffle application. The letter must grant the Record Keeper the authority to submit raffle applications on behalf of the organization and to be responsible for maintaining complete and accurate financial records. The letter must be on your organization’s letterhead and signed by an officer of the organization. For more information on governing raffles, see the Board‘s Rules and Regulations.
Application Review Process
The Board will review only applications that meet all of the following requirements:
- The online application must be submitted in DELPROS at least seven to ten business days in advance of the Board meeting.
- Your organization’s After Occasion Reports (AORs) must be up-to-date. AORs are due no later than 30 days after a gaming event. If your organization’s AORs for past events are overdue, the Board will not review your application for any future event.
If your proposed raffle drawing date passes before the Board reviews and approves your application, you are not permitted to hold the raffle drawing. If all raffle drawing dates listed on your application pass before the Board reviews and approves them, you are not permitted to hold any of the drawings and you will forfeit the non-refundable processing fee.
You are not permitted to submit an alternate raffle drawing date if any proposed drawing dates pass before the Board reviews and approves the application. You must submit a new application and processing fee for the alternate dates.
