Charitable lottery regulations in Alberta.

Alberta, like every province or territory in Canada, has its own set of rules and regulations governing lottery licenses for non-profit, charitable or religious groups. We’ve broken down Alberta’s ticket lottery regulations for you and done our best to explain a few of the more confusing aspects. If you’re planning on running a charitable gaming event in Alberta and are wondering if, for example, you need a lottery license for a 50/50 in Alberta or you want to know how to apply for a ticket lottery permit, we’re here to help.

Before we get into the details, we just want to say that, yes you can use Zeffy’s 100% free event management software for nonprofits (we don’t even charge transaction fees) to sell tickets online in Alberta.

‍

What is a lottery?

Well, in classic Canadian style, the official definition varies ever so slightly from province to province. In Alberta, raffles are regulated by Alberta Gaming, Liquor and Cannabis (AGLC) and AGLC defines a raffle as:

A raffle is a lottery scheme where ticket purchasers pay for a chance to win a prize.
- AGLC

‍

Do you need a raffle license in Alberta?

According to the AGLC, any time someone is required to pay a price for a chance to win a prize, a raffle license is needed.

When it comes to applying for a raffle license, Alberta is unique in that the AGLC has split the process into two steps:

Step 1:

Your nonprofit needs to apply to be eligible to host a raffle. To do this, you need to submit one of two forms: 1) Eligibility for Raffle License - $20,000 and Less or 2) the Eligibility for Gaming License - $20,000 or more.

‍

Step 2:

Once the AGLC has granted their approval, your nonprofit can then apply for a raffle license.

‍

Good to know:

You do not need a license for AGLC approval for:

• Silent auctions
• Live auctions
• Bottle drives
• Receiving donations
• Free giveaway contests
• Fundraising sales (almonds, popcorn, meats, etc.)

‍

Can nonprofits apply for a raffle license in Alberta?

Alberta based non-profit, charitable, or religious groups can apply for a raffle license! All you have to do is:

• Have a charitable purpose:
• Relief of poverty.
• Advancement of education.
• Advancement of religion.
• Other purposes beneficial to the community.
• Submit an Eligibility for Gaming License application (less than $20,000 or more than $20,000) to AGLC.
• Ensure the money earned supports your nonprofit organization's programs.

‍

Good to know:

An organization does not need to be registered as a charity with Canada Revenue Agency to be considered a charitable organization in Alberta.

‍

‍

To be eligible for a raffle license in Alberta, your nonprofit needs to:

• Have a volunteer base that represents the community at large.
• Have volunteers from Alberta who create, control and deliver your nonprofit’s charitable programs.
• Have a volunteer based board of directors or executive that has been democratically elected from your volunteer base. (A maximum of 25% of your nonprofit’s executive may be appointed and no more than 25% of your executive members can live outside Alberta.)
• Have charitable programs that are available to all members of the public who wish to take part.
• Have a not‐for‐profit objective and bylaws that follow AGLC policy.
• Be incorporated. (If you are applying for an Eligibility for Gaming License for a raffle with a total ticket value more than $20,000.)

‍

How to apply to be eligible to host a raffle in Alberta:

In Alberta, the online gaming rules are different depending on the total ticket value. The total ticket value is the number of tickets multiplied by the price of each ticket.

To calculate the total ticket value, multiply the price(s) of the ticket(s) by the number of tickets for sale:

‍

For raffles in Alberta with a total ticket value of $20,000 or less:

To apply for a raffle license in Alberta your nonprofit needs to fill out the Eligibility for Raffle License (Total Ticket Value $20,000 and Less Only) and an Internet Account Request Form (included in the application) to get your AGLC ID Number.

You can return completed forms to AGLC at gaming.licensing@aglc.ca or by fax: 780-447-8911.

‍

For raffles in Alberta with a total ticket value of more than $20,000:

Complete the Eligibility for Gaming License application and return it to gaming.licensing@aglc.ca or fax it to: 780-447-8911.

‍

What you’ll need to apply to be eligible to host a raffle in Alberta:

• A copy of your nonprofit’s meeting minutes authorizing the application.
• A copy of your Incorporation Certificate.
• Your nonprofit organization's operating bylaws.
• A current List of board members or elected executives, including addresses and telephone numbers.
• A current membership list, including addresses and telephone numbers.
• Last year’s financial statements.
• The budget for the current year or proposed budget for the upcoming fiscal year.
• The land title certificate or lease/rental agreement, if you own or rent a facility for your programs.

‍

Once your nonprofit becomes eligible to host a raffle, you can apply for a raffle license.

For raffles in Alberta with a total ticket value of $20,000 or less:

You can apple for a raffle license online through an AGLC web account. Before you apply, make sure you know:

• The format of the raffle: cash or merchandise; 50/50; progressive, etc. (See FAQ for additional details.)
• The number of tickets for sale.
• The price per ticket.
• Prize description(s) and retail value of each prize.
• Date and location of the draw(s).
• All expenses, such as ticket printing, advertising etc.

‍

‍

For raffles in Alberta with a total ticket value of more that $20,000:

If your total ticket value will be more than $20,000, your nonprofit should use the Raffle License Application—More than $20,000 form and, if you’re planning on selling raffle tickets online using Zeffy’s 100% free ticketing platform, you will also need to fill out the Raffle License Application—More than $20,000—Addendum—Electronic Raffles form.

‍

Does it cost anything to apply for a raffle license in Alberta?

For raffles in Alberta with a total ticket values of $20,000 or less:

There are no license fees to apply to be eligible to host a raffle in Alberta. However, Alberta registry agents will charge a service fee to issue the license.

‍

For raffles in Alberta with a total ticket value of more that $20,000:

If your raffle’s total ticket value is more than $20,000, the following fees apply:

• A $150 fee if your raffle’s total ticket value is more than $20,000 and less than $100,000.
• A $500 fee if your raffle’s total ticket value is more than $100,000 and less than $1,000,000.
• A $1,000 fee if your raffle’s total ticket value is $1,000,000 or more.

‍

How long will it take to get your nonprofit’s raffle license?

A complete application take’s the AGLC around two weeks to review and, if there is any missing information, they will contact you by letter, email or phone call to let you know.

‍

Can you sell raffle tickets online in Alberta using Zeffy’s ticketing forms?

Yes! Nonprofits can sell raffle tickets online for any raffle with a total ticket value below $100,000.

You can use online payment methods, such as Zeffy’s ticketing forms and Zeffy’s raffles and lotteries software to help your nonprofit:

• Accept ticket orders and payments.
• Distribute tickets. (Via email, for example.)
• Use a random number generator to select the prize winner(s).
• Distribute prizes.

And, as always, there are just a few things to keep in mind:

• All electronic raffle system software must be certified by an accredited testing facility.
• Compliant with the AGLC Electronic Raffle System Document.
• Approved by AGLC.
• The online medium (e.g. website) must be able to confirm that the ticket purchaser is 18 years or older and present in Alberta at the time of purchase.

‍

Good to know:

We suggest you include that you plan to sell and distribute your raffle tickets online using Zeffy platform when applying for your gaming license. For more info. take a look at the Electronic Raffle Standards Document (PDF).

→ Check out our guide on how to sell raffle tickets effectively!

‍

What needs to be included on a raffle ticket in Alberta?

For more details, take a look at the Raffle Terms & Conditions, section 2.2. But, your raffle tickets will need to include:

• A raffle ticket number that has been generated consecutively as tickets are sold.
• Price categories for discounted tickets (those sold in multiples) must be easily distinguished (e.g., different series numbers).
• Any additional information (such as: advertising, logos, coupons, or barcodes) must not impact or obscure the required information.
• Electronic raffle tickets and ticket stubs must include the issue date and time in 24-hour format showing hours and minutes. Electronic bearer tickets and ticket stubs must also include the raffle sales unit (RSU) identifier from which the ticket was generated.

→ Check out our guide on how to make raffle tickets!

Tickets must be in two parts and contain the following information:

Ticket (given to the ticket purchaser):

• Ticket number.
• Ticket price.
• Raffle license number.
• Name of licensed charitable organization.
• Total number of tickets available for sale.
• Date and exact location of draw(s).
• Description and value of prize(s).
• Prize restrictions (if applicable).
• Cash alternatives (if applicable).
• Notice that the ticket purchaser must be at least 18 years of age.

Ticket stub (kept by your nonprofit organization):

• Ticket number.
• Raffle license number.
• Name and contact information of ticket purchaser.

‍

A few more important details about hosting a raffle in Alberta:

• Each group that plans to hold a raffle must establish raffle rules for each license. Raffle rules must be provided when asked. For guidance, refer to Section E of the Raffle Terms & Conditions.
• Each group must have ticket and financial controls for all raffle licenses. The Raffle Ticket Inventory Control Procedure & Inventory Control Worksheet may be used.
• Each raffle license for a raffle with a total ticket value of $20,000 or more require their own bank account. Raffles with a total ticket value of $20,000 or less can use the general bank account of your nonprofit organization. (But we recommend opening a raffle-specific bank account regardless.)

‍

‍

After your nonprofit’s raffle has taken place.

In Alberta, financial reporting is required for every gaming license and all records must be kept for two (2) years after your license expires.

Make sure to track your expenses, ticket sales, prizes, etc. and keep all of your receipts and invoices. You can use the Raffle Ticket Inventory Control Procedure & Inventory Control Worksheet to help.

For raffles with a total ticket value of $20,000 or more, the AGLC sends financial reports to a specific contact for all gaming licenses and/or bank accounts, so make sure your contact information is accurate.

For raffles with a total ticket value of $20,000 or less, the financial reporting requirements are located on the raffle license and must be returned to AGLC within 60 days of the final draw date.

‍

Good to know:

All records must be kept for two years after the license expires and completed financial reports and supporting documentation must be returned toAGLC within 60 days.