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:
The Attorney General has promulgated regulations, 940CMR12 and 13 regarding the conduct of raffles and bazaars. (Bazaars include Texas Holdum events.)
Must be used exclusively for the purposes stated in the application and are limited to the following:
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 application fee is a non-refundable $10.
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.