Licensing

4.1. Who may hold raffle occasions.

4.1.1. Except as provided in Subdivision 4.1.4 of this subsection, only persons, as defined in Section 2 of this rule, who are residents of this State and who are active members of any charitable or public service organization, as defined in Section 2 of this rule, may hold raffle occasions under a valid license if the organization has been in existence in this State for two (2) year prior to filing for a raffle license.

4.1.2. If the applicant is a charitable organization, it shall have an Internal Revenue Code Section 501 determination letter before it may file for a raffle license.

4.1.3. Before any organization may hold a raffle or joint raffle occasion, it shall register with the Secretary of State under the Solicitation of Charitable Funds Act. (See, Section 28 of this rule).

4.1.4. Any charitable or public service organization which has been in existence in this State for at least two years may conduct raffle occasions without a license if the following provisions are met:

4.1.4.1. The gross proceeds derived by that organization from all raffle occasions does not exceed $7500 during any calendar year; and

4.1.4.2. No prize awarded in any single raffle occasion exceeds $1000.

4.1.5. Any charitable or public service organization which is not required to obtain a raffle license is not subject to the record keeping provisions of W. Va. Code §47-21-16, but shall maintain its own records for raffle. These records shall be kept open for inspection by the Tax Commissioner for at least three (3) years.

4.2. Application for raffle license.

4.2.1. Application is to be made to the Tax Commissioner on the proper form.

4.2.2. Filing of applications.

4.2.2.1. An applicant shall file its completed applications with the State Tax Commissioner. "Filing" means that the complete application is delivered to the West Virginia Department of Tax and Revenue, Criminal Investigation Division, Raffle and Raffle Licensing Unit, P.O. Box 1143, Charleston, West Virginia 25143, by regular mail, certified mail or in-person delivery. The filing date of an application is the date of its receipt at the place designated by the Tax Commissioner.

4.2.2.2. Each application, in order to be considered filed shall be complete, have all required documentation and have the appropriate license fee attached.

4.2.2.3. The applicant may not hold a raffle or sell any raffle tickets until the raffle application has been approved by the Commissioner and the license has been received by the applicant. Additionally, no raffle occasion may be held and no tickets may be sold until the expiration of the sixty day filing period, which is the time period between the Tax Commissioner's receipt of the application and the first raffle occasion.

4.2.2.3.a. Within five (5) days after the application has been approved, the Tax Commissioner shall send the license to the applicant. Any decision to deny an application shall be made known to the applicant before the sixty (60) day filing period expires.

4.2.2.3.b. If the Tax Commissioner fails to deny the application or send a license within the sixty day period, that failure will constitute approval of the application and the applicant may proceed to sell tickets and hold the raffle occasion. If the application has not been denied, the Tax Commissioner shall send the license to the applicant within five (5) days after expiration of the filing period.

4.3. Transferability - A raffle license issued under W. Va. Code §47-21-1 et seq. may not be transferred.