(1) The Department of Justice shall not issue a license to conduct bingo, lotto or raffle games or Monte Carlo events to any organization unless:
- (a) The organization is exempt from payment of federal income taxes as a charitable, fraternal or religious organization; and
- (b) The organization has held such tax exempt status for at least one year preceding its application to the department for a license and during which time the organization engaged primarily in its charitable, fraternal or religious purpose.
- (2) An application for a license must be accompanied by a certificate of the organization’s exemption from payment of income taxes as a charitable, fraternal or religious organization and by such other evidence of the organization’s status under subsection (1) of this section as the department may require.
- (3) If an organization loses its tax exempt status after having applied for or having received a license, the organization shall promptly notify the department of the change in status. A license issued by the department shall cease to be valid whenever the organization to which it is issued loses its tax exempt status.
[1987 c.914 §11; 1997 c.867 §4]