SENATE BILL REPORT

                                   SHB 1931

          AS REPORTED BY COMMITTEE ON COMMERCE & LABOR, APRIL 3, 1991

Brief Description:  Raising the limit on nonprofit raffles.

SPONSORS:House Committee on Commerce & Labor (originally sponsored by Representatives Brough, Grant, Brumsickle, Broback, Neher, Morris, Mielke, Cantwell, Chandler, Van Luven, D. Sommers, Holland, Wilson, Bowman, Mitchell, Ferguson, Wynne and Forner).

HOUSE COMMITTEE ON COMMERCE & LABOR

HOUSE COMMITTEE ON  REVENUE

SENATE COMMITTEE ON COMMERCE & LABOR

Majority Report:  Do pass.

      Signed by Senators Matson, Chairman; Anderson, Vice Chairman; Bluechel, McCaslin, McMullen, Moore, Murray, and Skratek. 

Staff:  Traci Anderson (786‑7452)

Hearing Dates:April 2, 1991; April 3, 1991

BACKGROUND:

Bona fide charitable or nonprofit organizations organized primarily for purposes other than the conduct of gambling activities are authorized to conduct bingo, raffles, and amusement games, subject to certain restrictions, without obtaining a license from the commission.  The limit on gross revenues from all of the activities is $5,000 during any calendar year.

No taxes may be imposed on charitable or nonprofit bingo games, raffles, or amusement games when the gross income from all of these games does not exceed $5,000 per year.

SUMMARY:

Taxes may be imposed on raffles only on net receipts exceeding $10,000.

Appropriation:  none

Revenue:  none

Fiscal Note:  available

TESTIMONY FOR:

Sometimes nonprofit and charitable organizations do not make much money at raffles because they bring in over $5,000 and are then required to pay a 10 percent tax.  These organizations are doing good work in the community.  We should encourage them in their efforts to assist their communities.

TESTIMONY AGAINST:  None

TESTIFIED:  Representative Jean Marie Brough, prime sponsor