Jump to content
UnevenEdge

Raffles


1938 Packard

Recommended Posts

Probably taxes.

 

With a non-profit, all money made in a raffle is assumed to be going towards a particular cause and not in any one person's pocket. Since it's going out, it doesn't require being taxed because that would take money away from whatever the cause is.

 

With a for profit type raffle, it's money going into someone's pocket where it will wait patiently until that person can get to the store and buy their chips, dips, beer, cigs and lotto tickets. That requires being taxed as it's technically income at that point even if it's only a one time event for that particular person.

 

As most raffles consist of donated items, a raffle can be 100% profit given the proper venue. Non-profits tend to be registered as such and would be known to the community they are raffling in / for. Individuals aren't registered and neither the quality of the items for raffle nor the raffle itself can necessarily be vouched for.

Link to comment
Share on other sites

×
×
  • Create New...