In Italy, both chance based and skills based prize promotions, are subject to the same regulations, which details the bureaucratic procedures and fiscal obligations which must be respected. In addition, there are severe sanctions for not abiding by the stipulated requirements or carrying out prohibited draws.
Administrative steps for organising a contest in Italy
- Write detailed rules for the contest;
- Stipulate a guarantee for the full amount of the prizes;
- Appoint a non-profit organisation to receive the prizes if, for any reason, they are not claimed or wanted by the participants.
- Fill out the ministerial forms;
- Send all required documentation to the Ministry of Economic Development via the "prema on line" system at least 15 days before the start date of the prize draw;
- Choose the winners in the presence of the Official Responsible for the Protection of Public Faith;
- Pay taxes on the prizes;
- Hand over the prizes within a maximum period of 180 days with proof of delivery;
- Declare the closure of the contest with the Official Responsible for the Protection of Public Faith after having handed over the prizes.
But don't worry: Promosfera will take care of everything!
In Italy penalties for illegal promotions can be very high: the most serious breaches can be fined up to €500,000!