Finance 105: Gaming Activities

Purpose

To provide guidelines for university community organizations that want to hold fund raising events involving games of skill or chance.

Reference

Board of Regent's Policy and Regulations 05.02.08

State of Alaska Statutes and Regulations Article 7: Raffles, Lotteries, and other Gaming Activities 

Policies & Procedures 

Gaming Application Form

Prizes & Awards Taxable Status Determination Form

 

Gaming Activities: Gaming activities that may be authorized by the Budget Office include raffles. If a door prize has more than a nominal value and is considered and incentive to attend the event and a chance must be purchased to be eligible to win, the activity is reportable under the gaming permit. 

Policy

Permit Use

University related organizations that want to conduct gaming activities for the purpose of raising funds must obtain permission from the Budget Office. UAA holds a permit for gaming activities and administers the use of this permit. To use the gaming permit, qualified organizations must submit a Gaming Application Form to the Budget Office. To offset the cost of administration and the reports that must be filed with the State and Internal Revenue Service, organizations will be charged a $20 use fee plus 5% of the gross proceeds of the activity.
 
Requirements
In accordance with statutes and regulations, the only expenses that may be incurred or paid in connection with a gaming activity are the promotional materials, goods, wares, and merchandise necessary for the operation of the activity. All raffle tickets and stubs must be serially numbered and have the organization’s name, the permit number (provided by the Budget Office when approval is granted), a list of all prizes, and the date, time and location of the prize drawing printed on them.
 
Internal Reporting
Financial record keeping (including disposition of net proceeds from the gaming activity) is the responsibility of the permit user. Within two weeks after the activity has taken place, a report containing the following information must be submitted to the Budget Office.
  1. A financial report for the activity containing both budgeted and actual expenses and revenue.
  2. The description, cost and retail value of each prize.
  3. Original UA Taxable Status Determination form showing that the prizes were accepted by each winner ( a receipt for each individual to whom a prize has been awarded). The receipts should also document the winner's first and last name, address and social security number.
  4. Copies of the deposit receipts for all revenue.
  5. Receipts or invoices for all expenses.
  6. All unsold tickets and ticket stubs including the winning ticket stubs.
  7. A ticket log that contains all ticket numbers, purchaser names, and prizes awarded.
  8. Vendor prize donation form(s)
External Reporting
In conformance with State of Alaska Regulations, the Budget Office will compile the foregoing information into reports that must be filed with the State and the Internal Revenue Service.
 
Revenue Use
State law requires that the net revenue earned from the use permit be expended within one year after the conclusion of the gaming activity and that the expenditure be for the purpose approved in the application.

Effective: 03/01/2015