Use of Lottery Proceeds 

Once a group has been determined eligible to obtain Lottery Licences, the groups intended use of lottery proceeds listed on the licence application are reviewed as well.

In order to determine the eligibility of the proposed use of proceeds, a licensing official must review the organization’s programs and services.  An eligible organization’s charitable purposes and objects must fall within one of four classifications. The eligible uses of proceeds will vary by classification and by eligible organization. As such when determining what is considered an eligible use of proceeds for an eligible organization, the following factors must be taken into consideration:

  • under which of the four classifications the objects and purposes of the organization fall;
  • the mandate of the organization;
  • the type of organization; and
  • the organization’s structure.

Eligible uses of proceeds must be:

  • in themselves charitable and advance the charitable purposes or objects of the organization;
  • used for the direct delivery of the charitable purposes or objects of the organization; and
  • directed toward specific segments of the Ontario community or residents of Ontario with a common need.

FINANCIAL REQUIREMENTS FOR LICENSED LOTTERY EVENTS

All licensees must hold lottery proceeds in designated lottery trust accounts, for the purposes specified in the lottery licence application and approved by the licensing authority. The licensing authority may limit the amount that may be held in the trust account. Lottery proceeds must be used for the purposes approved by the licensing authority and cannot be accumulated for other purposes or over a period of time not approved by the licensing authority.

Related Links

Alcohol and Gaming Commission of Ontario - Terms and Conditions

Alcohol and Gaming Commission of Ontario - Lottery Licensing Policy Manual

Email the Lottery Licensing Department