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Can I offer contests that involve in-game promotions in Kentucky? What are the requirements?
Based on the provided context documents, it appears that contests that involve in-game promotions may fall under the category of charitable gaming in Kentucky. Charitable organizations conducting charitable gaming in Kentucky are required to be licensed by the Department of Charitable Gaming [3.2]. However, exemptions from licensure requirements are available for charitable organizations conducting certain charitable gaming activities, including bingo, raffles, and charity fundraising events, as long as the gross receipts do not exceed $25,000 per year [3.2].
To qualify for licensure, a charitable organization must possess tax-exempt status under certain sections of the Internal Revenue Code, have been established and continuously operating within Kentucky for charitable purposes for at least three years prior to application for licensure, have been actively engaged in charitable activities during the three years immediately prior to application for licensure, and have maintained an office or place of business in the county in which charitable gaming is to be conducted for at least one year [3.2].
Therefore, if the in-game promotions are considered charitable gaming and the gross receipts do not exceed $25,000 per year, a charitable organization may be exempt from licensure requirements. However, the organization must still comply with all other provisions of the Kentucky Revised Statutes relating to the conduct of charitable gaming, including notifying the Department of Charitable Gaming in writing of its intent to engage in exempt charitable gaming and complying with reporting requirements [3.2].
It is recommended that you consult with a legal professional to determine whether your specific in-game promotions would be considered charitable gaming and to ensure compliance with all applicable laws and regulations.
Source(s):
- [3.2] Licensing of charitable organizations conducting charitable gaming – Exemptions – Qualifications.
Jurisdiction
Kentucky