A tax of 5% of ticket sales must be remitted to the Lottery Commission, which acts as a tax collector.
- Example: Sold 100 tickets for $1 each
Revenue from ticket sales = $100
Calculate tax: $100 ×.05 = $5 of tax that needs to be paid to the lottery commission.
The necessary tax forms will be mailed to the organization once they have registered for the permit.
Additional tax forms can be requested by contacting the Lottery Commission Charitable Gaming Division near you.
- Braintree: (781) 849-5555
- West Springfield: (413) 781-3880
- Worchester: (508) 755-7855
- Woburn: (781) 935-2668
- Fairhaven: (508) 999-6748
- Boston: (617) 742-9470
You may also go to the Lottery website at www.masslottery.com .
Forms must be filled out and remitted to the Lottery Commission no more than 10 days after the winning number is drawn.
If the prize for the raffle was $600 or more, you must fill out a 1099-MISC and send it to the winner of the raffle with a copy to the IRS and the MA DOR. To obtain the 1099-MISC form and instructions you may call 1-800-Tax-Form. You can order the form on-line by going to the business section of the IRS website at www.irs.gov.