21 ACTIVE SWEEPSTAKES · 15 ACTIVE RAFFLES · 24 FOR-PROFIT COMPANIES · 8 NONPROFIT FUNDRAISERS · 17 RAFFLE ORGANIZATIONS · ALL INFO FROM PUBLIC SOURCES · 21 ACTIVE SWEEPSTAKES · 15 ACTIVE RAFFLES · 24 FOR-PROFIT COMPANIES · 8 NONPROFIT FUNDRAISERS · 17 RAFFLE ORGANIZATIONS · ALL INFO FROM PUBLIC SOURCES ·
LEARN/RAFFLE LEGAL GUIDE

Raffle Legal Guide

Raffles are regulated gambling in the United States. Before purchasing a ticket or running a raffle, understand the state-by-state legal landscape, licensing requirements, and participant rights.

Not legal advice. This guide is for informational purposes only. Raffle laws change frequently. Always consult a qualified attorney before conducting a raffle. PrizeTrack is not responsible for errors or omissions in this guide.

UNIVERSAL RULES

Rules That Apply in Every State

Nonprofits Only

Only licensed nonprofit organizations may conduct raffles in the United States. For-profit companies are prohibited in all 50 states.

License Required

Most states require a specific raffle or charitable gaming license before tickets can be sold. Operating without a license is a criminal offense.

Proceeds Must Benefit the Mission

Raffle proceeds must be used for the nonprofit's charitable purpose. Using proceeds for personal gain or unrelated expenses is illegal.

Tickets Must Be Numbered

Most states require raffle tickets to be consecutively numbered and include the organization's name, date of drawing, and prize description.

No Cash Prizes in Some States

Several states (including Texas and California) prohibit cash prizes in raffles. Prizes must be merchandise, services, or experiences.

No Online Sales in Some States

Many states restrict or prohibit online raffle ticket sales. Even if your organization is licensed, selling tickets online to out-of-state residents may violate other states' laws.

PROHIBITED STATES

States Where Raffles Are Banned

Alabama(AL)

Raffles are prohibited. No exceptions for nonprofits.

Hawaii(HI)

Raffles are prohibited. No exceptions.

Utah(UT)

All forms of gambling including raffles are prohibited by the Utah Constitution.

Note: Raffle operators must exclude residents of banned states from purchasing tickets, even for online raffles. Failure to do so may expose the organization to criminal liability in those states.

STATE-BY-STATE OVERVIEW

Raffle Laws by State

This is a high-level overview only. Laws change frequently. Always verify current requirements with the relevant state agency.

StateStatusKey Notes
Alabama (AL)✗ ProhibitedRaffles are prohibited. No exceptions for nonprofits.
Alaska (AK)✓ PermittedLicensed nonprofits only. Annual license required. Prize limits apply.
Arizona (AZ)✓ PermittedQualified nonprofits may conduct raffles. License required from AZ Dept. of Revenue.
California (CA)✓ PermittedRegistered 501(c)(3) or 501(c)(19) orgs only. Registration with CA DOJ required. No cash prizes.
Colorado (CO)✓ PermittedLicensed nonprofits only. License from CO Secretary of State. Annual limits apply.
Connecticut (CT)✓ PermittedNonprofits must obtain a permit from local authorities. Strict prize and proceeds rules.
Florida (FL)✓ PermittedNonprofits only. Registration with FL Dept. of Agriculture required for prizes over $500.
Georgia (GA)✓ PermittedBingo and certain raffles permitted for nonprofits. Local licensing required.
Hawaii (HI)✗ ProhibitedRaffles are prohibited. No exceptions.
Idaho (ID)✓ PermittedNonprofits may conduct raffles. License required from ID State Lottery.
Illinois (IL)✓ PermittedNonprofits only. License from IL Dept. of Revenue. Strict ticket and prize requirements.
Indiana (IN)✓ PermittedQualified organizations only. License required. Annual gross receipts limits apply.
Iowa (IA)✓ PermittedNonprofits may conduct raffles. License required from IA Racing & Gaming Commission.
Kansas (KS)✓ PermittedNonprofits only. License required. Ticket prices and prize limits apply.
Kentucky (KY)✓ PermittedCharitable gaming license required from KY Dept. of Charitable Gaming.
Louisiana (LA)✓ PermittedNonprofits only. License from LA Office of Charitable Gaming.
Maine (ME)✓ PermittedNonprofits may conduct raffles. License from ME Gambling Control Board.
Maryland (MD)✓ PermittedNonprofits only. County-level licensing required. Strict rules vary by county.
Massachusetts (MA)✓ PermittedNonprofits only. License from local licensing authority. Strict rules on proceeds use.
Michigan (MI)✓ PermittedNonprofits only. License from MI Lottery. Annual and per-event licenses available.
Minnesota (MN)✓ PermittedNonprofits only. License from MN Gambling Control Board. Detailed reporting required.
Mississippi (MS)✓ PermittedNonprofits may conduct limited raffles. Local ordinances may apply.
Missouri (MO)✓ PermittedNonprofits only. No state license required but local permits may apply.
Montana (MT)✓ PermittedNonprofits only. License from MT Gambling Control Division.
Nebraska (NE)✓ PermittedNonprofits only. License from NE Dept. of Revenue. Strict rules on ticket sales.
Nevada (NV)✓ PermittedNonprofits only. License from NV Gaming Control Board.
New Hampshire (NH)✓ PermittedNonprofits only. License from NH Lottery Commission.
New Jersey (NJ)✓ PermittedNonprofits only. License from NJ Legalized Games of Chance Control Commission.
New Mexico (NM)✓ PermittedNonprofits only. License from NM Gaming Control Board.
New York (NY)✓ PermittedNonprofits only. License from NY Gaming Commission. Strict rules on proceeds and prizes.
North Carolina (NC)✓ PermittedNonprofits only. License from NC Dept. of Public Safety.
North Dakota (ND)✓ PermittedNonprofits only. License from ND Office of Attorney General.
Ohio (OH)✓ PermittedNonprofits only. License from OH Attorney General's office.
Oklahoma (OK)✓ PermittedNonprofits only. License from OK ABLE Commission.
Oregon (OR)✓ PermittedNonprofits only. License from OR Dept. of Justice.
Pennsylvania (PA)✓ PermittedNonprofits only. License from PA Dept. of Revenue.
Rhode Island (RI)✓ PermittedNonprofits only. License from RI Dept. of Business Regulation.
South Carolina (SC)✓ PermittedNonprofits only. Local licensing required.
South Dakota (SD)✓ PermittedNonprofits only. License from SD Lottery.
Tennessee (TN)✓ PermittedNonprofits only. License from TN Secretary of State.
Texas (TX)✓ PermittedNonprofits only. Strict rules — no cash prizes, tickets cannot be sold at a profit.
Utah (UT)✗ ProhibitedAll forms of gambling including raffles are prohibited by the Utah Constitution.
Vermont (VT)✓ PermittedNonprofits only. License from VT Dept. of Liquor & Lottery.
Virginia (VA)✓ PermittedNonprofits only. License from VA Dept. of Agriculture & Consumer Services.
Washington (WA)✓ PermittedNonprofits only. License from WA Gambling Commission.
West Virginia (WV)✓ PermittedNonprofits only. License from WV Lottery.
Wisconsin (WI)✓ PermittedNonprofits only. License from WI Dept. of Revenue.
Wyoming (WY)✓ PermittedNonprofits only. License from WY Gaming Commission.
PARTICIPANT RIGHTS

Your Rights as a Raffle Participant

Right to see the official rules

Raffle operators must make the official rules available to all participants. The rules must disclose the prize, odds of winning, drawing date, and eligibility requirements.

Right to know the organization's license number

Licensed raffle operators must display their license number on all promotional materials and tickets. You can verify the license with the relevant state agency.

Right to a refund if the raffle is cancelled

If a raffle is cancelled before the drawing, participants are generally entitled to a refund of their ticket purchase price.

Right to decline a prize

You are never required to accept a prize. Declining a prize avoids the associated tax liability, though you will not receive a refund of your ticket price.

Right to report illegal raffles

If you believe a raffle is being operated illegally (by a for-profit company, without a license, or in a prohibited state), you can report it to your state attorney general's office.

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