Under Criminal Law Article, §12-106 of the Annotated Code of Maryland, a charitable organization may conduct a raffle of real property if it is for the exclusive benefit of the organization and the prize awarded is real property to which the charity holds title or to which the charity has the ability to transfer title. A charity can not conduct more than two (2) raffles in a calendar year.
Under Code of Maryland Regulations 01.02.07.03, a charitable organization must submit to the Charitable Organizations Division a disclosure statement prior to advertising or conducting a raffle of real property. The disclosure statement includes information such as the name and address of the charity, the address and description of the property to be raffled, the date, time, and location of the raffle, the amount of consideration, and the encumbrances and costs attributable to the winner of the raffle.
In addition to submitting the disclosure statement, the charity must obtain a permit, if applicable, from the county in which the raffle will be conducted and the county or counties in which tickets will be sold. Please refer to the "Raffles of Personal Property" for the appropriate county agency.
In order for the charitable organization to be able to conduct a raffle of real property, the charity must own at least equitable title to the real property to be raffled. It is acceptable for the the transfer of title to the charity to be conditioned upon the actual holding or outcome of the raffle. If the transfer is subject to a condition, the charity must submit with its disclosure statement a bona fide independent appraisal of the property.
Additionally, the regulations specify the information that must be included on the raffle ticket and the time period during which the transfer must occur. After the transfer, the charity is required to submit an accounting of all income and expenditures associated with the raffle.
To obtain a copy of the relevant provision of the Code of Maryland Regulations and the appropriate forms, please contact the Division.
Raffles of personal property (generally defined as all property other than real estate) are usually governed at the county level in Maryland. Many counties and Baltimore City require a permit before conducting a raffle in the county or selling raffle tickets in the county, even if the raffle is conducted in another county.
Prior to selling tickets for the raffle, please contact the appropriate county agency listed below.
16 Francis St. Annapolis, MD 21401 ~ Phone Number: 410-974-5521 ~ FAX Number: 410-974-5190
Office Hours: 8:30 - 4:30 ~~~ Certification Hours: 8:30 - 4:00