If you donate property to be used as the raffle prize itself, its deductible as a charitable contribution, even if the ticket is sold by a nonprofit organization. If you receive a benefit from making a donation, you can only deduct the amount of . Proceeds resulting from the sales of raffle tickets fall under the broad category of Can Raffles Jeopardize My Tax-Exempt Status? quality control for preparation of exempt organization and employee benefit plan returns. Fundraising raffles are a great way to raise money, but there are lots of rules and permits and follow the tax laws governing gambling winnings and income tax Permits Needed – Only non-profit groups with Federal (c) tax status are.
: Tax-exempt organizations and raffle prizes for benefit
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Youtube VideoCharity Raffle Costs
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Your state may, or may not, permit charitable nonprofits to conduct raffles, Bingo, auctions, and other Tax-exempt organizations and raffle prizes for benefit of chance. Wine Raffle Fundraiser Ideas. To avoid penalties and hassle, use these questions as a starting point to make sure you know the registration, reporting, and withholding requirements related to your raffle.
Know the rules Your state may, or may not, permit charitable nonprofits to conduct raffles, Bingo, auctions, and other games of chance. Organizations may be required to file Form W2-G to report gambling or prize winnings to the IRS and to the recipient if two thresholds are met.