U.S. Sweepstakes Laws: Free Promotions & State Requirements

Start with the promotion you actually intend to run: a free random drawing, a judged photo/video contest, or a competition using public votes. The selection method, entry conditions, eligible states and advertising channels determine which rules need attention.

This guide covers ordinary commercial promotions with free entry. Paid entries or votes, purchase-linked offers, charitable raffles, gambling devices and regulated prizes need separate analysis. It is an informational overview, not legal advice for a particular campaign.

Drawings, judging and public voting

A sweepstakes awards a prize by chance with a genuinely free entry route. A judged submission contest evaluates entries using stated criteria. Public voting is another selection mechanism; it should not automatically be described as a legally established pure-skill contest.

Do not assume that removing a random drawing makes paid participation lawful everywhere. State definitions differ, and chance can matter even when skill is also present. For example, Arizona's specialized purchase-linked intellectual-contest provision is not a registration requirement merely because a free photo/video form uses judging or voting.

Sources: FTC advertising guidance; Arizona definitions; New Jersey's chance and gambling definitions.

Make free entry real

The advertisement and entry flow should make clear that a purchase is not needed to enter a sweepstakes and does not improve the entrant's chances. Do not place a shopping step where someone would reasonably think it is required to finish entering.

FTC action against Publishers Clearing House illustrates the problem with misleading purchase prompts and sweepstakes claims. A buried disclosure does not cure a misleading overall experience. That enforcement order applies to the company involved; it is not a universal interface specification.

Source: FTC Publishers Clearing House enforcement announcement.

Federal rules and advertising channels

Use truthful prize, sponsorship and winner claims. Distinguish an invitation to enter from an actual winner notification, and do not introduce a misleading purchase or prize-release fee.

Telephone and mailed promotions have additional requirements. FTC guidance identifies special telemarketing disclosures; postal rules address mailed sweepstakes materials. Apply those rules when using those channels instead of automatically turning a mailing or telephone requirement into a web-form checklist.

Sources: FTC advertising guidance; U.S. Postal Inspection Service sweepstakes guide.

State registration and prize security

Florida, New York and Rhode Island have familiar prize-value filing regimes for covered commercial chance promotions. Scope matters: an online form does not eliminate the New York or Florida requirements, while Rhode Island's retail-business statute must be read alongside its broader agency instructions.

Use the filing guide for sources and post-promotion tasks. Other states have meaningful disclosure and conduct rules even when these particular prize-pool filings do not apply. The state-law directory links every state and DC.

Find your state's sweepstakes laws

Review each state where residents can enter your promotion. These guides cover free drawings and judged or voted submission contests, with links to official sources. For a visual overview, use the interactive state-law map.

• Alabama
• Alaska
• Arizona
• Arkansas
• California
• Colorado
• Connecticut
• Delaware
• District of Columbia
• Florida
• Georgia
• Hawaii
• Idaho
• Illinois
• Indiana
• Iowa
• Kansas
• Kentucky
• Louisiana
• Maine
• Maryland
• Massachusetts
• Michigan
• Minnesota
• Mississippi
• Missouri
• Montana
• Nebraska
• Nevada
• New Hampshire
• New Jersey
• New Mexico
• New York
• North Carolina
• North Dakota
• Ohio
• Oklahoma
• Oregon
• Pennsylvania
• Rhode Island
• South Carolina
• South Dakota
• Tennessee
• Texas
• Utah
• Vermont
• Virginia
• Washington
• West Virginia
• Wisconsin
• Wyoming

Write rules that match the campaign

Use the following as practical drafting prompts, then add the requirements applicable to your states and channels:

• Sponsor identity, eligible entrants and the opening and closing dates.
• Free-entry instructions, entry limits and a precise description of each prize.
• How winners are selected: drawing, judging criteria, voting stages and tie handling.
• Material prize-use conditions, verification, notification and fulfillment.
• How submitted content and contact details will be used.

State-specific provisions may go further. Oregon, for example, sets solicitation disclosures for contests and sweepstakes; Connecticut has particular rules for covered sweepstakes advertisements. Use the source-linked state pages instead of treating this list as exhaustive.

Define eligibility rather than relying on a disclaimer

Decide which states and age groups may participate before launch, then make the form, advertising and rules agree. A “void where prohibited” line does not itself exclude a named state or complete its filing obligations.

If the promotion is limited geographically, state the limits clearly and administer them consistently. Keep a record of eligibility checks and the basis for rejecting an entry.

Plan prize reporting and recipient information

For 2026, IRS Publication 1099 lists a general $2,000 reporting threshold for prizes and awards reported on Form 1099-MISC. Review the applicable annual reporting and payment rules; the threshold is not a tax-free allowance for winners. Gambling winnings and payments for services can use different forms.

Collect appropriate recipient information for reporting. W-9 generally documents U.S. recipients, while foreign recipients may need the appropriate W-8. Missing taxpayer information can create withholding obligations. The threshold may change after 2026, so use current IRS instructions when awarding prizes.

Sources: IRS Publication 1099; IRS W-9 requester instructions.

Regulated prizes need a separate check

An alcohol shipping license is not permission for any sponsor to award alcohol. The sponsor's role, prize, participant age, retail involvement and fulfillment method can affect the rules. This guide does not provide clearance for regulated products.

For example, Virginia ABC's manufacturer promotion guidance includes restrictions on alcohol prizes in the covered promotions. Apply the relevant regulator's rules to the actual sponsor and prize rather than using a general state shipping summary.

Check the platforms you use

Before publishing a social promotion, review the current promotion policies of each platform involved. Make the relationship between the sponsor and the platform clear, and ensure the entry instructions match what the campaign actually accepts.

For public voting, describe the permitted voting method and how invalid votes or ties are handled. These are practical administration recommendations; platform policies do not replace applicable law.

From planning to prize delivery

1. Choose the entry and selection methods, prize and eligible audience.
2. Review the relevant state pages and official sources; identify filings early.
3. Finalize consistent rules, advertising and form settings before launch.
4. Keep entry and selection records, verify winners and deliver prizes.
5. Complete required winner reports, tax reporting and record retention.

Mistakes to avoid

Common drafting problems include using “$5,000 or more” where a statute says more than $5,000, assuming Florida has a prize-security cap, declaring every online Rhode Island promotion exempt, and treating every judged contest as outside all state rules.

The state pages explain those distinctions with sources. A rules template is a starting point, not evidence that the campaign's actual mechanics have been reviewed.

Start with the states and the actual format

Use the 50-state and DC directory to build a campaign-specific checklist. Revup can collect entries and support promotion workflows; sponsors remain responsible for their rules, filings and prize obligations.