Illinois Administrative Code › Title 86 - REVENUE › Part 435 - CHARITABLE GAMES ACT › Section 435.190 - Records; Audits

Current through Register Vol. 48, No. 28, July 12, 2024
a)
Each
			 licensee must keep a complete record of charitable games conducted within the
			 previous 3 years. Such record shall be open to inspection by the Department
			 during reasonable business hours.
(Section 10 of the Act)
b) Licensed organizations must keep all
			 records and receipts this Part requires licensed organizations to maintain,
			 whether or not those records and receipts must be filed with the Department.
			 Organizations licensed to conduct charitable games shall keep any and all tax
			 returns, contracts with providers and suppliers, and complete and accurate
			 records issued to participants as set forth under Section
			 435.160(b)(1).
			 In addition, the records must demonstrate that the entire net proceeds from
			 charitable games are devoted to the lawful purposes of the organization as
			 required under Section 8(1) of the Act. If an organization enters into an
			 agreement with a consultant company, that agreement must be in writing and must
			 be retained by the licensed organization and available for inspection by the
			 Department. Suppliers shall keep all contracts with licensed organizations,
			 lists of all charitable games equipment offered for sale, lease, loan or
			 distribution to organizations licensed to conduct charitable games, and copies
			 of the licenses of organizations licensed to conduct charitable games.
			 Providers shall keep all contracts with licensed organizations and copies of
			 the licenses of organizations licensed to conduct charitable games. Licensed
			 organizations shall keep any record or receipt pertaining to any charitable
			 games event for at least three years after the event. All such records shall be
			 available for inspection by representatives of the Department during reasonable
			 business hours. Any and all records of any licensed organizations shall be
			 subject to an audit by the Department without notice, performed at the premises
			 where the charitable games event is conducted or at the office of the person or
			 organization where the records are located. In the event of an audit by the
			 Department, the person or organization being audited shall provide all such
			 records, provide a place where the audit may be performed, and provide any
			 requested information relevant to the conduct of the event.
c) When the Department has information
			 indicating that any person or organization licensed under the Act has not paid
			 the full amount of tax due, has not provided the Department with accurate or
			 complete information concerning revenues from charitable games events, or is
			 using proceeds from charitable games events in an unlawful manner,
the
			 Department may require the licensee to obtain from an Illinois certified public
			 accounting firm, at the licensee's own expense, a certified and unqualified
			 financial statement and verification of records of the licensee
. If
			 required, this statement must be submitted to the Department within 90 days
			 after notice is received by the licensed organization.
Failure to
			 comply with this requirement may result in suspension or revocation of the
			 licensee's license and forfeiture of all proceeds.
(Section 10 of the
			 Act)