If we are offering a prize such as a vehicle, is the prize taxable?

Generally, if you are offering a merchandise prize, the organization would pay applicable taxes when buying the prize. If you choose to leave this expense up to the winner of the prize, your ticket and rules must clearly state the exact costs that would be incurred to claim the prize.

What are the rules for advertising our raffle?

You cannot advertise your raffle until your licence is approved. Raffles can only be advertised in Manitoba. All advertisements must contain the name of the licensed organization and your licence number. If you are advertising on the internet, you must indicate that the event is intended for Manitoba residents only. Advertisements must adhere to all federal, provincial and community advertising …

How can we use the money we raise through our raffle?

Funds raised through raffles must be used for education, religion, health, relieving poverty, or to benefit the community by promoting sports, recreation, culture, or any other area considered appropriate by the LGCA. Provide as much detail as possible on your application about how you intend to use the funds. Revenue generated from raffles cannot be used for anything that is …

Our organization is very small and we do not have the background documents requested in the raffle application. Can we still get a licence?

Yes, if your organization is a charitable or religious organization. The LGCA recognizes that smaller organizations may not have formal documentation. In these cases, minutes from meetings and/or letters of support from school principals, councilors, mayors/reeves, MLAs, MPs or religious leaders may be acceptable. These letters of support must state that your group is a bona fide organization, your aims …

Is a silent auction considered a raffle?

A true silent auction, where participants voluntarily place written bids for a prize and only the highest bidder pays money for the prize, is not a raffle and does not require a licence.

When is a licence not required for a draw?

A licence is not required if an organization is holding a free draw. Draws for door prizes do not require a licence if there is no charge or consideration to enter the draw. Consideration is when participants are required to make a donation or pay an entry fee to an event in order to enter a draw. The draw must …

Can my business obtain a licence to hold a raffle and donate all the proceeds to charity?

Businesses and individuals do not qualify for raffle licences. Section 207(1)(b) of the Criminal Code (Canada) states that you must be a charitable or religious organization to be licensed to conduct a lottery scheme, which includes raffles. The LGCA can license individuals and groups who are planning a one-time social event at a venue such as a banquet hall, restaurant, …