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Legal & tax framework 2026

French nonprofit loto regulations: tax, GDPR, authorizations

The nonprofit loto in France is governed by 3 main texts: Article L322-3 of the Code de la Sécurité Intérieure (loto framework), Article 261-7 of the Code Général des Impôts (tax exemption up to 6 events/year), and GDPR (data protection — very light in practice).

The 4 pillars of the regulations

1. Town hall declaration

Mandatory at least 1 month before. Article L322-3 of the Code de la Sécurité Intérieure. See our complete guide on authorization.

2. Organizing conditions

Nonprofit, restricted circle of participants, prizes not redeemable in cash, modest entry fee (usually < €5).

3. Tax — Article 261-7 of the CGI

VAT and commercial tax exemption on the income of the first 6 exceptional events of the year. Beyond the 6th, income becomes taxable.

4. GDPR

Very light in practice: anonymous cards, no player records. Only edge case: if you collect a winner's email/phone, delete it after the event.

Official sources

ℹ️ This page summarizes the rules in force in 2026. Legislation may evolve. This page is not formal legal advice — when in doubt, consult your town hall or a lawyer specializing in nonprofit law.

Frequently asked questions — Regulations

What are the main legal obligations of a nonprofit loto?

Four pillars: (1) **Town hall declaration** at least 1 month before (Article L322-3 of the Code de la Sécurité Intérieure), (2) **Organizing conditions** — French loi 1901 nonprofit or similar, restricted circle, modest entry fee, non-cash prizes, (3) **Tax** — VAT and commercial tax exemption up to 6 exceptional events per year (Article 261-7 of the CGI), (4) **GDPR** — no player records (anonymous cards).

What's the 6 exceptional events per year limit?

Article 261-7 of the CGI exempts from commercial tax and VAT the income of the **first 6 exceptional charity or support events** per year, per nonprofit. Beyond the 6th, income becomes taxable. Lotos are considered “exceptional events” if organized occasionally (not weekly).

Is my loto income taxable?

No, up to 6 events/year (Article 261-7 CGI) — VAT not applicable, corporate tax exempt on this income. Beyond the 6th annual loto, income is taxable. For nonprofits regularly exceeding that threshold, consider a separate ringfenced commercial activity.

Do you have to declare winners to the tax office?

No — prizes won at a nonprofit loto (provided it stays within the legal framework) are not considered taxable income for the winner, as long as they are not cash. For very high-value prizes (> €10,000 as a guide), the nonprofit should keep supporting documents in case of audit.

What's the GDPR framework for a nonprofit loto?

Very light in practice: cards are anonymous (just a number), no player records. The only data possibly collected is the winner's phone/email to announce the result (delete it after the session). No DPO requirement, simplified processing register. BingoShow does not collect personally identifying player data.

What are the prize caps allowed?

There is **no official cap** on the total prize value in French law. However, two practical limits: (1) if a main prize exceeds several thousand euros, additional prefectural authorization is advised, (2) if a prize's value becomes comparable to “disguised cash” (refundable gift card), the loto risks being reclassified as gambling.

Does a nonprofit loto need insurance?

The nonprofit needs civil liability insurance (often included in MAIF / MACIF / MAIA nonprofit policies). Check with your insurer that loto-type events are covered. If you rent a town-owned hall, the town will request an insurance certificate.

Can you run a 100% online loto?

In theory yes, but legally risky. The framework of Article L322-3 (nonprofit lotos) assumes a restricted in-person circle. A 100% online loto open to the general public risks being reclassified as online gambling (which requires an ANJ license). The hybrid format (in-person + a few invited remote attendees) remains safe.

Everything is in order. Now run your loto.

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