A Raffle is defined in MGL271:7A as an arrangement for raising money by the sale of tickets, certain among which, as determined by chance after the sale, entitle the holder to prizes.
A Bazaar is defined in MGL271:7a as a place maintained by the sponsoring organization for disposal by means of chance one or both of the following types of prizes:
Merchandise of any value
Cash awards, not to exceed $250 each
The Attorney General has promulgated regulations, 940CMR12 and 13 regarding the conduct of raffles and bazaars. (Bazaars include Texas Holdum events.)
Qualifications of Organization
Type of organization
Church or religious organization
Educational or charitable organization (including Public School Departments, parent-teacher organizations)
Civic or service organizations
Clubs organized and operated exclusively for pleasure, recreation, or other purposes
Actively functioning as a nonprofit organization in Auburn
Two years or more in existence
Purposes of Proceeds
Must be used exclusively for the purposes stated in the application and are limited to the following:
Operation of the Raffle or Bazaar (Including Poker Tournaments)
Promotion of the raffle or bazaar must be confined to the members of the sponsoring organization. No member shall be compensated for time or effort devoted to the promotion of the event.
Applications shall be made to the town clerk of the town in which the raffle will be drawn. Tickets may be sold in several towns. Application must contain:
The name and address of the organization
Names and addresses of three members responsible for the event money
List of the officers of the organization for bazaars
Copy of the 501c(3) certificate of solicitation from the Attorney General or other evidence (i.e. federal income tax filing) of current non-profit status
List of the type of events to be held and approximate dates planned
Specific uses for the money
The application fee is a non-refundable $10.
Obtain application from Town Clerk
Submit documentation of eligibility to town clerk and pay application fee
Application is then presented to chief of police for his approval/signature
Application returned to Town Clerk for issuance of the permit
Permit issued or denied within 30 days of application
Valid for one year (organization may conduct multiple raffles, or 3 bazaars)
Permits may be revoked if non-members promote the raffle, uses of proceeds are not as stated in the application, payments are made for promotion of raffle, or facts on the application have changed without notice to the clerk.
Organization must file an annual report (PDF) within 30 days of expiration of permit detailing number of events, amount raised, expenses, names of winners of prizes valued at more than $250, uses of the net proceeds; signed by the people on the application and an accountant.
State Lottery commission will issue appropriate tax forms (5% commission on gross proceeds payable within 10 days of each event).
Renewal of permit is conditional upon timely receipt of annual report. Organization must keep records sufficient to substantiate information required by annual report.