Charitable Games Tax & License Fees
Statutory Reference
Definition
The tax is imposed on the gross proceeds of charitable games. Annual license fees are imposed on
operators, suppliers, and providers of such games.
Fourteen games are permitted: bang, beat the dealer, big six, blackjack, chuck-a-luck, craps, five-card
stud poker, gin rummy, hold-em poker, keno, merchandise wheel, poker, pull tabs, and roulette. Profits
from the games must be used to support the organization’s goals, such as charitable work or education.
A licensed organization may hold up to four charitable game events per year.
For a group to be eligible to conduct charitable games, it must
- be a religious, charitable, educational, veterans’, fraternal, or labor organization;
- have been in existence in Illinois for at least five years (may be reduced to two years in certain
circumstances);
- operate without profit to its members; and
- already be exempt from federal income taxation under Internal Revenue Code, Section 501(c)(3), (4), (5), (8), (10), or (19).
Note: Veterans’ organizations that are eligible to hold a bingo license are also eligible for a charitable
game license without regard to federal tax status.
Tax Rate
The tax rate is based on gross proceeds. Use the
"Tax Rate Finder" to determine the tax.
License fees
One annual application is good for four events. However, if all four dates are not requested at application
time, an organization may amend or add dates by requesting an amendment in writing 30 days
prior to an event.
- Organizations conducting charitable games are required to pay a annual license fee.
- Suppliers of gaming equipment are required to purchase an annual license for
three years.
- An annual “provider’s fee” is imposed on anyone who rents space
to be used for a charitable game.
Use the
"Tax Rate Finder" to determine the fee.
Primary filing requirements
License — Organizations eligible to hold charitable games must submit applications at least 30 days before the event. License fees must be paid when the application is f led. To apply for a license
- qualifying organizations must file Form RCG-1, Charitable Games Application for License, RCG-2, List of Charitable Game Workers, RCG-10, Diagram of Charitable Games Event Playing
Areas, RCG-25*, Expenditure of Funds Earned Through Charitable Games, and Form RCG-32*,
Charitable Games Event Workers’ Attendance List; (*if renewing); and
- suppliers must file Form RCG-7, Application for Charitable Game Supplier’s License, RCG-8,
Charitable Games Equipment Price List, and Form RB-30, Provider of Premises License Application.
Return —
Form RCG-18, Charitable Game Tax Return, is due 30 days after the date of the event.
Questions?
