Ontario Lifts Seller Commission Limit for Paper Raffles, Reverses Ban on Catch the Ace Lottery Tickets on Paper
AGCO Loosens Regulations on Charity Lotteries and Catch the Ace Events
In an effort to reduce the regulatory burden on charitable gaming organisations while maintaining transparency and compliance, the Alcohol and Gaming Commission of Ontario (AGCO) has made significant changes to its policies regarding paper raffles, media bingo, and Catch the Ace paper lotteries.
Effective from early August 2025, the cap on seller commissions for Paper Raffles and Media Bingo has been removed, giving charities the flexibility to negotiate commissions directly with sellers. This decision was made as part of AGCO's outcomes-based regulatory approach, which aims to support charity fundraising efforts while ensuring oversight and accountability.
One of the key changes is the authorisation of Catch the Ace paper lotteries, previously prohibited. These lotteries will now be regulated similarly to other charitable lottery products. However, charities must still obtain approval for additional expenses and retain receipts for all seller commissions paid.
While commission documentation is no longer required with license applications, charities remain subject to AGCO audits. All lottery activities must comply with Ontario laws and the Criminal Code.
The AGCO's actions are part of a broader plan to tighten its grip on the gaming scene, with the aim of decreasing the market share of illegal gambling. This includes the revocation of the ban on Catch the Ace paper lotteries and the amendment of the section of its Lottery Licensing Policy Manual regarding Catch the Ace events.
The AGCO has also taken action against businesses operating illegal electronic gambling machines branded as Prime Slot. Several businesses in the Greater Toronto Area have had their lottery retailer registrations revoked. These machines, which are similar to traditional slots, were found in convenience stores and other venues where gaming machines are typically not permitted.
With these changes, charities will have greater decision-making flexibility when it comes to raising funds. They can now negotiate commissions directly with sellers, as long as they are reasonable and tied to the cost of the service provided. This move is expected to encourage more charitable organisations to engage in fundraising activities, thereby benefiting the communities they serve.
[1] AGCO News Release, "AGCO Announces Changes to Charitable Gaming Regulations," 1 August 2025. [2] AGCO, "Lottery Licensing Policy Manual," accessed 1 September 2025. [3] Ontario Ministry of the Attorney General, "Charitable Gaming," accessed 1 September 2025. [4] Criminal Code of Canada, "Prohibited and Restricted Activities," accessed 1 September 2025. [5] AGCO, "Charitable Gaming Frequently Asked Questions," accessed 1 September 2025.
- In light of the AGCO's amendments to the Lottery Licensing Policy Manual, some charities might consider exploring alternative fundraising methods like online bingo or politics-themed slots to attract a broader audience and generate higher revenue.
- With the authorization of Catch the Ace paper lotteries, charitable organizations can now consider expanding their fundraising efforts to includegeneraland political news-themed events, potentially increasing public interest and contributions.
