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Can I offer contests that involve non-cash prizes in Nevada? What are the requirements?

Based on the documents provided, you can offer contests that involve non-cash prizes in Nevada as long as you comply with the following requirements:

Requirements for offering contests with non-cash prizes in Nevada

  1. You must be a qualified organization registered by the Chair to operate a charitable lottery or charitable game pursuant to NRS 462.150 [1.2][1.3][1.4].
  2. You cannot compensate any person for the provision of prizes and supplies used in the operation of a charitable lottery or charitable game, except to pay the fair market value of the prizes and supplies necessary for the operation of the charitable lottery or charitable game [1.1].
  3. You cannot provide any additional compensation to a person who is a regular employee of the organization for his or her services in organizing or operating a charitable lottery or charitable game or assisting in the organization or operation of a charitable lottery or charitable game. This subsection does not prohibit a qualified organization from compensating a person for the fair market value of services that are ancillary to the organization [1.1].
  4. The total value of all the prizes offered in charitable lotteries operated by the qualified organization during the same calendar year, including, without limitation, the value of all unclaimed cash prizes, does not exceed $500,000 [1.2][1.3].
  5. The non-cash prizes offered in the contest must have a fair market value [1.1].

Conclusion

You can offer contests that involve non-cash prizes in Nevada as long as you comply with the requirements listed above.

Source(s):
Jurisdiction

Nevada