Question: Is a gun raffle legal?

griff silver

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Im working on a gun that I would like to raffle off on my facebook page. I would obviously only ship to an ffl for them to have a background check upon receipt. I am just an individual but have gun store in town that will log and ship it. Is this legal in texas? thanks in advance. The gun is far from done just wondering if i can go that route.
 

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DakotaDocMartin

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Speaking for laws in North Dakota (Texas is probably different), we need to apply for a permit. Being that it's considered gambling and any gambling not on an Indian reservation needs to be sponsored by some charitable group or organization. I'd guess that every state wants to get into regulating that sort of thing. I'd ask your state authorities on the subject. I know it can be done as I've purchased raffle tickets for airplanes in Texas. Then again, it was to benefit the club that did the building and restoration of the airplanes. A raffle for an individual to make a profit? I'm thinking no is the answer.
 
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From what I think I have learned. If you engraved a gun you plan to sell or raffle, you need an FFl license to do the work. For now, if you own it and plan to sell or raffle your own property. Transfering through an FFL is acceptible. Since I live and work in New York state I am extra cautious after the governor pulled his middle of the night dirty deed.

One big mistake and you could be the felon no longer allowed to ply your trade. Our legal system seems to be stacked against the law abiding citizen these days.

If law professionals can shed some light of clarity on what I think I have learned, I and others will appreciate the legal clarity on this subject.
 

griff silver

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Truth is im feeling my way through the dark i have bought several gun for the purpose of engraving them....... for the most part to take to a show late in the year. All of them are in my name so the are mine. I have no dba related to gun engraving. And any sales i do between now and the time i git my ffl will go through a dealer with back ground check etc....... if im doing anything wrong i would like to know i dont want to get in trouble before i even get started.
 

goodsteel

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I am a licensed 07 FFL and gunsmith. As far as the ATF is concerned, unless it was a person to person sale, if the firearm transfers ownership they want a 4473 attached to the sale or else. There is nothing ilegal about selling a firearm for a little or a lot, by raffle, auction, gift, or drawing straws. As far as the ATF is concerned, they could care less as long as there's paperwork tracking it's movements where they are allowed to require it (this is why the "gunshow loophole" really irks them. It totally screws up their already absurd "paper trail" that only need one legal break to make it all worthless, but I digress.)
Now the local laws concerning gambling are a different matter, and just like the ATF could give a rip about the money, the local laws could give less of a rip about what the item is, as long as the money is handled in a way that gives them good feelings and darkens not their sunny day of accepted domestic money changing. If they have a problem with your raffle, they would have a problem with any raffle (probably turning a blind eye to women's auxiliary Thursday night bingo, but again, I digress).
At the end of the day, if the local laws are willing to let you run a raffle given certain criteria are met, then do so and be happy. Then if the Federal laws (ATFE) are satisfied with the arrangement for transfer (you need not ship from an FFL on your end, but it darn sure better be landing at one on the other end) then go in peace and live life to the fullest.
This really isn't all that complicated. You have local laws to satisfy, and Federal laws to satisfy (BATFE). Make sure you are covered under both, (or at least do a reasonable amount of research, and make a reasonable attempt to make some phone calls. Do yourself a favor and record the time and who you spoke to, and keep a record of where you got your information so that you have something to show in the unlikely event that somebody comes asking questions.
The only way you would get anything more than a slap on the wrist or a warning, followed by a more thorough explanation of the law, is if something went terribly wrong and the gun were used in the commission of a crime and you were caught sending it to somebody other than an FFL. In all you do cover your 6 in regards to point #2.

All that said, I doubt you live in a small enough town where they have the manpower and Barney Fife attitude enough to bust on one guy raffling one gun. Usually, they are looking for a guy who is doing this all the time and making a killing at it, and even then the only reason they care is because they are losing tax dollars on it. Pay your taxes and you're untouchable. In fact, they'll light your cigar. (Again I digress. Apologies)

PS: Darn nice looking work on that cylinder!
 
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monk

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i almost went that route. i did a raffle to benefit our local library. i chose instead to raffle off a free gun engraving job for the winner. the winner supplied the gun. the gun i recvd to do -a nice peace maker. the library was quite happy, as was the winner. at the time, i had an ffl,, but was wary of raffling a gun.
 

DakotaDocMartin

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FEGA Raffles one every year I believe as does ducks unlimited and many other groups.

Both are organizations of some sort. At least here in North Dakota, raffles require a permit and only clubs, charities, etc. can do them. The transfer of a handgun legally to someone out of state is a given with the BATFE regulations. Transfers in state and in person from individual to individual be it handgun or long gun need not go through an FFL.
 

Toad

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The gun it self can be sent from you and not an FFL. It does need to be sent to an FFL. The winner would go to that FFL and fill out the 4473.

Todd
 

Big Ed

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Tampa, FL
I am a member of several local veterans organizations that routinely raffle off guns for fundraisers. I don't think the gun is an issue, as long as you comply with federal firearms laws by transferring through an FFL. The bigger issue would be your status to "raffle" something as a means of sale. As others have observed, that could raise several issues pertaining to gambling, your profit status, sales tax, etc. Why open that box if you don't need to?

If you just want to sell it, there are several online gun auction sites such as gunbroker.com where people do it all the time. You won't need to check with a lawyer to do that.
 
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https://www.texasattorneygeneral.gov/alerts/alerts_view_alpha.php?id=58&type=1

Raffles in Texas: Know the Law
[updated: 5/10/2010]
We have become aware of a proliferation of illegal raffle activity in Texas. It is important for Texans to be familiar with the law before conducting or participating in a raffle.

Examples of unlawful raffles include any raffle that is:
conducted by an individual
conducted by a for profit business
conducted by a charity that does not qualify


Texas law allows only certain charitable and nonprofit organizations to conduct raffles to support their charitable causes. Only the following entities which meet certain qualifications are permitted to hold raffles:
religious societies
volunteer emergency medical service providers
volunteer fire departments
qualified nonprofit organizations


In order to conduct a raffle legally, a nonprofit organization must have, among other criteria, an exemption from federal taxes under Section 501(c) of the Internal Revenue Code. A qualified nonprofit must also have been in existence for three years. The law permits only two raffles per calendar year, requires several disclosures printed on tickets, and limits the value of prizes purchased by the organization to $50,000, or $250,000 if the purchased prize is a residential dwelling.

It is also against the law to hold a raffle in which cash, or anything readily convertible to cash, is offered as a prize, or which is promoted statewide or through paid advertising, including television, radio or newspapers.

An unlawful raffle could be considered illegal gambling, which may carry criminal penalties. A county attorney, district attorney or the attorney general may also shut down an illegal raffle.

The Office of the Attorney General is prohibited by law from providing legal advice to individuals. If you contemplate conducting a raffle for fundraising purposes, you should read the Charitable Raffle Enabling Act (which went into effect January 1, 1990) carefully and consult a private attorney with any questions. You should also avoid participating in an illegal raffle. For more information, you can visit our Web site and read our online consumer protection brochure on charitable raffles.
General Abbott's signature
Greg Abbott
Attorney General of Texas
 
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