Illinois Raffle Laws 2026: Rules, Licensing & Requirements for Nonprofits

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Table of contents

• Illinois raffle definition under the Video Gaming Act

• Do you need a license to host a raffle in Illinois?

• Who can host a raffle in Illinois?

• The 5-year operating requirement — and what to do if your nonprofit is newer

• What Illinois law actually says: Key statutory text from the Illinois Raffles and Poker Runs Act

• Penalties for hosting an unlicensed raffle in Illinois

• Local governing body raffle laws

• Raffle license requirements by county and municipality

• Chicago raffle license requirements

• Can you sell raffle tickets online in Illinois using Zeffy's ticketing forms?

• Poker runs in Illinois: What you need to know

• What to include on tickets for your nonprofit's raffle

• After your nonprofit's raffle

• Illinois raffle laws: FAQs

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In the United States, online raffles, opportunity drawing, and lotteries are governed by individual states. Each state has raffle rules that dictate what is considered a raffle, which organizations are permitted to host a raffle, and what is required to conduct raffles legally within the state.

Some states make it a bit more complicated than others for lawful purposes. Still, nonprofit organizations that host ticketing events like raffles often end up hosting more than one raffle per year, and some of Zeffy's most extensive campaigns are raffles. AKA raffles raise a lot of money for the nonprofits that host them.

So, yes, the first raffle you host can be time-consuming and confusing, but all the time and energy invested is ultimately worth it. Plus, raffles are a great way to mix up your fundraising campaign portfolio, and, as a bonus, they attract new donors to your nonprofit.

And, of course, we're here to help by walking you through the process of setting up a raffle on Zeffy. We've even got a few tips on how to sell raffle tickets.

Okay, let's dig into Illinois lottery law and raffle rules.

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Illinois raffle definition under the Video Gaming Act

The Illinois General Assembly's Video Gaming Act and the Illinois Raffles and Poker Runs Act are the best guides for defining a raffle in Illinois.

A raffle is a form of lottery in which a player pays something of value for a chance to win — represented and differentiated by a number or a combination of numbers. The winning chances are determined through a draw or other method(s) based on an element of chance according to the Illinois Raffles and Poker Runs Act.

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Do you need a license to host a raffle in Illinois?

Yes, you do. It is illegal to host a raffle in Illinois without a license therefor pursuant to the raffle act and compliance by the Illinois Gaming Board. Such a person might be subject to criminal code violations which we'll touch on below.

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How does a nonprofit apply for a raffle license in Illinois?

Raffle licenses issued pursuant to Illinois law are controlled by the counties or municipalities. So, if your nonprofit plans to host a raffle, a bona fide member must apply through your county or municipality.

Download the official Illinois raffle license application form (PDF) — a quick way to make sure your nonprofit is on the right track with local compliance.

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How many raffles does a license allow a nonprofit to host?

The state of Illinois allows individual municipalities and counties to define the number of raffles a nonprofit organization can hold during its license period.

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Does it cost money for a nonprofit to register for a raffle in Illinois?

License fees for charitable game operators vary by county and municipality and the prize amount awarded during a raffle.

Examples of fees for raffle licenses across Illinois:

• McLean County: Ranges from free to $50 based on prize value

• Aurora County: Ranges from free to $25 based on prize value

• Oswego: Ranges from free to $25 based on prize value

Okay, now that it's clear, who is allowed to host a raffle in Illinois?

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Who can host a raffle in Illinois?

The only organizations that can host a raffle in Illinois are:

• 1. Bona fide religious, charitable, labor, business, fraternal, educational, and veterans organizations, or other bona fide not-for-profit organizations that:

• Have a nonprofit organization in Illinois.

• Operate without profit.

• Have been operating for 5 years before they apply for a raffle license.

• Have, during that entire 5-year specified period, been carrying out their objectives.

• 1. A nonprofit fundraising organization that the municipality or county determines is organized to be providing financial assistance to an individual or group of individuals suffering extreme financial hardship due to an illness, disability, accident, or disaster.

• 2. Any law enforcement agencies and associations that represent law enforcement officials.

• 3. Any fire protection agencies and associations that represent fire protection officials.

• 4. A political committee permitted to host a raffle must first receive an approved license from the State Board of Elections and have no members deemed not within good moral character. The entire net proceeds of any raffle must be exclusively devoted to the lawful purposes of the political committee permitted to conduct that game.

In addition, eligible organizations must not owe the State Board of Elections any unpaid civil penalty authorized by Sections 9-3, 9-10, and 9-23 of the criminal code, or be the subject of an unresolved claim at the time of its application for a license to conduct a raffle.

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The 5-year operating requirement — and what to do if your nonprofit is newer

The 5-year rule catches a lot of newer nonprofits off guard. If your organization hasn't been operating continuously for five years before you apply for a raffle license, you don't qualify under the standard eligibility category — even if you're a registered 501(c)(3) with a clear charitable mission.

There's no general waiver process for the 5-year requirement under the Illinois Raffles and Poker Runs Act. The legislature set this threshold deliberately to ensure that only established, mission-driven organizations can host raffles. It's a safeguard against pop-up operations using the raffle framework to skirt gambling laws.

That said, newer nonprofits aren't completely shut out. The Act includes one specific alternative pathway:

The hardship exemption (Category 2 in the eligibility list)

If your organization exists specifically to provide financial assistance to individuals suffering from extreme hardship — due to illness, disability, accident, or disaster — you may qualify under Category 2 even without five years of operating history. The county or municipality makes this determination on a case-by-case basis. You'll need to clearly document your organization's purpose and the specific hardship situation you're addressing in your license application.

If your nonprofit is fewer than 5 years old and doesn't fall under the hardship exemption, here's what you can do instead:

• Partner with a qualifying organization that is at least 5 years old and has an aligned mission. That organization applies for the license and hosts the raffle, with proceeds directed toward your shared purpose.

• Focus on other fundraising formats — Zeffy supports online donation forms, ticketed events, and crowdfunding campaigns that don't require a raffle license.

• Plan ahead. Document your organization's founding date carefully so you know exactly when you cross the 5-year threshold and can apply immediately.

If you're uncertain whether your organization qualifies, contact your county clerk's office before you start selling tickets. They make the eligibility determination, and getting clarity upfront saves you from significant legal exposure.

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What Illinois law actually says: Key statutory text from the Illinois Raffles and Poker Runs Act

Understanding the legal framework behind Illinois raffle licensing isn't just good practice — it protects your organization from serious consequences. Rather than summarizing the law in general terms, here is what the Illinois Raffles and Poker Runs Act (230 ILCS 15/) actually states, so your nonprofit leadership and legal counsel can review the precise language governing your event.

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The core authorization and definitions (Sec. 1 – Sec. 2)

The Act establishes the foundational scope of who may legally conduct a raffle in Illinois. Under 230 ILCS 15/Sec. 1, the legislature declares that raffles may be conducted only by bona fide religious, charitable, labor, fraternal, educational, or veterans' organizations that operate without profit and have been in existence for at least five years.

230 ILCS 15/Sec. 2 defines "raffle" in substance as a form of lottery in which each participant buys a chance for an article put up as a prize, with the winner being determined by a random drawing or other method based on chance. The full statutory definition is available directly at ilga.gov under 230 ILCS 15/2 — review that text carefully, as the precise statutory language controls over any summary. This definition matters operationally: any event structured differently — such as a drawing tied to a purchase requirement — may fall outside the Act's protection and into prohibited lottery territory under the Illinois Criminal Code.

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License requirements (Sec. 3 – Sec. 5)

230 ILCS 15/Sec. 3 states that no raffle may be conducted without a license issued by the local governing authority (typically your county clerk or municipal office). Each license covers a single raffle or a defined series, and the application must identify the organization, its officers, and the intended use of proceeds.

Under Sec. 4, the governing authority is granted authority to set license fees and impose local conditions — which is why requirements vary by county across Illinois.

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Conduct of raffles (Sec. 6 – Sec. 7)

230 ILCS 15/Sec. 6 governs how raffles must be operated, including the requirement that all proceeds, after deducting actual expenses and prizes, be used solely for the lawful purposes of the organization. It also prohibits any person from receiving compensation for conducting a raffle beyond actual expenses.

Sec. 7 restricts who may purchase raffle tickets, explicitly prohibiting sales to anyone under 18 years of age.

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The penalty provisions (Sec. 8 and Criminal Code cross-reference)

This is where the stakes become concrete. 230 ILCS 15/Sec. 8 provides that any person who conducts a raffle without a license as required by the Act, or who violates any provision of the Act, is guilty of a Class A misdemeanor. The full text of this provision is available at ilga.gov under 230 ILCS 15/8 — consult that source directly for the exact statutory language.

A Class A misdemeanor in Illinois carries penalties of up to 364 days in jail and fines up to $2,500 per offense under 730 ILCS 5/5-4.5-55 — applicable to individual officers or organizers, not just the organization itself.

Additionally, unlicensed raffles may trigger exposure under the Illinois Criminal Code of 2012, Section 28-2(b), which governs illegal lotteries. Operating a raffle without a valid license can be construed as promoting a lottery, a separate criminal offense.

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What this means for your organization

These aren't abstract legal risks. Officers who sign raffle applications carry personal liability if the event is conducted improperly. Before selling a single ticket, confirm that:

• Your license is issued and in hand (not just applied for)

• All ticket sales, expenses, and proceeds are documented

• No one under 18 purchases a ticket

• Net proceeds are directed exclusively to your organization's exempt purposes

When in doubt, consult your county clerk's office or a nonprofit attorney familiar with Illinois gaming law. The full statutory text is available at ilga.gov under 230 ILCS 15/.

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Penalties for hosting an unlicensed raffle in Illinois

Running a raffle without a valid license isn't a paperwork oversight — it's a criminal offense. Illinois law is specific about the consequences, and they apply to individual people, not just organizations.

Class A misdemeanor charges

Under 230 ILCS 15/Sec. 8, any person who conducts a raffle without a license is guilty of a Class A misdemeanor. In Illinois, a Class A misdemeanor carries a sentence of up to 364 days in jail and fines up to $2,500 per offense. That exposure lands on the officers and organizers who ran the event — not just the nonprofit entity.

Illinois Criminal Code of 2012, Section 28-2(b)

An unlicensed raffle can also be prosecuted as an illegal lottery under the Illinois Criminal Code of 2012, Section 28-2(b), which prohibits promoting a lottery. This is a separate criminal offense from the Raffles Act violation, meaning an organizer could potentially face charges under both statutes for the same event.

Enforcement in practice

Local authorities — typically county clerks and municipal offices — are the first line of enforcement. They can deny future license applications to organizations that have operated unlicensed events. State's Attorneys can pursue misdemeanor charges against individual organizers. The Illinois Gaming Board and State Board of Elections both have oversight roles depending on the type of organization involved.

The practical takeaway

Don't start selling tickets until your license is physically in hand. An application in process doesn't protect you. If your event date changes, check whether your license needs to be amended — licenses specify the date and scope of the authorized raffle. Keep a copy of the license at your event in case a local official asks to see it.

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Local governing body raffle laws

There are 103 counties and over 1000 municipalities in Illinois, so we're not going to dive into the details of each one for now. However, the state of Illinois does provide general guidelines that each county and municipality must follow when establishing their applicable rules and regulations.

Each municipality or county needs to define the following in their raffle license application clearly:

• The maximum retail value of all prizes or merchandise nonprofit awards in a single raffle.

• The maximum retail value of each prize a nonprofit awards in a single raffle.

• The maximum price which may be charged for each raffle ticket.

• The maximum number of days during which tickets may be sold.

• Is there a fee to apply for a raffle license, and how much is it?

• What are the exact activities a license authorizes?

• Licenses must specify if they are valid for one raffle or a certain number of raffles for no more than one year.

• The county or municipality has to act on a license application within 30 days from the date of application.

It's good to know that all of your nonprofit's entire net proceeds from any raffle you host must be used by your nonprofit and go towards your mission.

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Raffle license requirements by county and municipality

Because Illinois delegates raffle licensing entirely to local governments, fees and rules vary significantly depending on where your organization is based. The table below covers the most commonly searched Illinois counties and municipalities, based on publicly available information from each jurisdiction. Always verify directly with your local office before applying — requirements can change.

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A few important notes about reading this table:

• "Set locally" means the jurisdiction sets its own limit, which you'll find on their specific application form. There's no statewide cap on ticket price or individual prize value — only on what each county chooses to authorize.

• Many Cook County jurisdictions have their own municipal rules that supersede county-level guidance. If your event is in a municipality within Cook County, contact that municipality directly rather than the county clerk.

• Some counties (like McLean) publish tiered fee schedules based on the total prize value of your raffle. A raffle with prizes under $500 may be free to license; one with prizes over $5,000 may carry a higher fee.

If your county or municipality isn't listed, start at your county clerk's official website or call their office directly. They're required by law to act on your application within 30 days.

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Chicago raffle license requirements

Chicago deserves its own section because it's home to a large share of Illinois nonprofits — and the city has specific requirements that differ from surrounding Cook County municipalities.

License fee: $100 flat fee for a raffle license, payable to the City of Chicago Department of Business Affairs and Consumer Protection.

Maximum aggregate prize value: $250,000 across all prizes in a single raffle.

501(c)(3) requirement: Chicago requires the applying organization to demonstrate 501(c)(3) status (or equivalent nonprofit designation) in addition to meeting the state's 5-year operating requirement.

Application process: Applications are filed through the Chicago Department of Business Affairs and Consumer Protection. You'll need to provide your organization's legal name, proof of nonprofit status, officer information, a description of prizes, and the intended use of proceeds.

Ticket sales: Whether Chicago-based nonprofits can sell tickets online is subject to the city's local determination. Contact the Department of Business Affairs directly to confirm what's currently permitted for your specific event.

Minimum age: Consistent with state law, no one under 18 may purchase a raffle ticket in Chicago.

If your nonprofit is based in Chicago or plans to sell tickets primarily within city limits, verify all requirements with the Department of Business Affairs before your license application is submitted. Chicago's requirements have been updated periodically, and the department's website or a direct phone call will give you the most current rules.

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Can you sell raffle tickets online in Illinois using Zeffy's ticketing forms?

Yes and no. Whether or not a nonprofit can sell raffle tickets online is determined by, you guessed it, the individual counties and municipalities.

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• Track your raffle ticket sales by adding offline ticket purchases to your campaign.

• Keep track of who purchased what and their info (such as email addresses and phone numbers) so you can contact the winner(s).

• Keep track of how many tickets you have sold, any additional donations, etc.

• Automatically create a contact list to send thank-you emails, re-engage with donors, and even let donors know when next year's raffle is coming up.

Zeffy supports 100K+ nonprofits and has helped raise $2B+ in donations — including through raffle campaigns like yours.

The state of Illinois allows you to use the internet to:

• Advertise your raffle. (Newsletters, banners, etc.)

• Display the rules of the raffle.

• Store raffle contact information for your nonprofit, including the licensed organization name, address, telephone number, facsimile number, or e-mail address.

• Answer frequently asked questions.

• List descriptions, photographs, or videos of the raffle prizes. (Get inspired by these raffle prize ideas)

• List the prize winners.

The state of Illinois requires nonprofits to keep all raffle ticket stubs, gross receipts, expenses, and net proceeds for every raffle your nonprofit hosts for three (3) years.

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Poker runs in Illinois: What you need to know

The statute governing Illinois raffles is officially called the Illinois Raffles and Poker Runs Act — and that second half of the name matters. Poker runs are a distinct type of fundraising event that falls under the same legal framework as raffles, and they're popular with motorcycle clubs, veterans organizations, and community groups across the state.

What is a poker run?

A poker run is an organized event — often involving motorcycles, bicycles, boats, or even walking — where participants travel to a series of checkpoints and draw a playing card at each one. At the end of the route, the participant with the best poker hand wins a prize. Participants typically pay an entry fee, which makes the event a regulated activity under Illinois law.

Do poker runs require a license in Illinois?

Yes. Because participants pay to enter and prizes are awarded based on an element of chance (the cards they draw), poker runs meet the legal definition of a raffle-adjacent event under the Illinois Raffles and Poker Runs Act. Your organization must obtain a license from your county or municipality before hosting a poker run, following the same application process as a traditional raffle.

Who can host a poker run?

The same eligibility rules apply as for raffles. Your organization must be a qualifying nonprofit — religious, charitable, labor, fraternal, educational, veterans, law enforcement, or fire protection — and must meet the 5-year operating requirement (or qualify under the hardship exemption). Political committees with State Board of Elections approval may also host poker runs.

Key operational rules for poker runs

• Net proceeds must go exclusively toward your organization's exempt purposes, after deducting actual expenses.

• No one under 18 may purchase entry into a poker run.

• No individual may receive compensation for organizing the event beyond reimbursement of actual expenses.

• Winners must be determined by the card draw — not by any skill component or by the outcome of a separate sporting event.

• All recordkeeping requirements that apply to raffles apply equally to poker runs: gross receipts, expenses, net proceeds, and prize documentation must be maintained for three years.

Practical considerations

Poker runs often involve multiple locations and routes that cross county or municipal lines. If your route spans more than one jurisdiction, check whether you need licenses from multiple governing bodies or whether one license covers the full event. Some counties will issue a single license for a poker run that passes through their territory; others may require separate applications. Clarify this with each county clerk's office along your planned route before you promote the event publicly.

The full text covering poker runs is included in the same statute available at ilga.gov under 230 ILCS 15/.

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What to include on tickets for your nonprofit's raffle

• A consecutive number for each ticket.

• The cost of each chance.

• The date/time/location of the draw.

• The name of your licensed organization.

• A description of prizes.

• Whether or not the person must be present at the drawing.

Although it's not written, we recommend that printed tickets have a detachable coupon or stub and that both the ticket and its coupon or stub be marked with a unique and matching number.

You can purchase pre-made tickets or get inspired by our sample ticket:

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After your nonprofit's raffle

The work doesn't stop once the winners have been drawn. We know, we know, if only it were that simple. However, governments love their paperwork, and Illinois is no different.

The state of Illinois requires your nonprofit to do the following if you plan to conduct raffles:

• Keep records of gross receipts, reasonable operating expenses incurred, reasonable sums expended, and net proceeds for every raffle it hosts.

• All deductions from gross receipts must be documented with receipts or other records indicating the amount, a description of the item or service or other reason for the deduction, and the recipient.

• The distribution of net proceeds itemized according to the payee, purpose, amount, and payment date.

• After each raffle has been completed, your nonprofit must report and file its gross receipts, expenses, and net proceeds from the raffle, as well as the distribution of net proceeds to your membership or local government.

• Winners cannot be determined by the outcome of a publicly exhibited sporting contest.

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A little more about all the paperwork:

• Nonprofits must keep gross receipts from the raffle operation separate from their nonprofit's other revenue sources.

• Funds earned from raffles must be kept in a separate bank account.

• The person who accounts for gross receipts, expenses, and net proceeds from raffles can not be the same person who accounts for your nonprofit's other revenues.

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Illinois raffle laws: FAQs

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