In the case of draws, the law defines them as random combinations for advertising or promotional purposes and although they are also excluded from the scope of the Gaming Law, if their tax system is applied, they must pay a tax in the amount of 10% of the price. Personal data is the most sensitive subject of contests and sweepstakes, as the financial penalties for error or negligence are high. The recommendation is that the basis of participation be deposited with a notary no later than the same day the action begins. Would you like to know the basic legal aspects for the organisation of competitions and prize draws? Here you have the 5 keys that quickly and easily solve the most important aspects to consider when considering this remedy. Users of Twitter or Facebook accept these legal bases by participating in the promotion. The same thing happens when you participate in other online competitions. You should not forget this section, in which you indicate that by participating in the contest or prize draw, you expressly accept the legal bases. The legal bases are important information for any sweepstakes, contests or promotions. Although the objectives of this type of online actions are diverse (to increase or stimulate a social audience, to retain, to generate engagement …) and in many cases, brands and companies refrain from publishing legal bases in their prints. However, in actions where the purpose is to capture leads, it is mandatory to have this document with regard to the use and processing of the data collected in accordance with the provisions of the General Data Protection Regulation (GDPR). In the legal bases, it is necessary to indicate the date on which the draw will take place, or it will be decided who is the winner of the contest, as well as whether one or more winners or, if applicable, an alternative will result. It is important to remember that all prizes whose value exceeds € 300 must pay what corresponds to the concept of personal income tax (it does not matter if it is a contest and draws or winning moments. No matter if the price was purchased or if we bought it for free): If you find it very difficult to write the legal bases and the presentation of the tax, contact me, I can help you through my legal raffle service.
You can specify your own legal bases or use as a reference our model legal bases for sweepstakes, which you can modify and adapt to your campaign. On the other hand, in both contests and sweepstakes, tax would be levied on the winner if the value of the prize exceeds a certain amount, so it would have to be taxed in the tax return. Therefore, the promoter of the promotion must exercise the appropriate deductions or make a deposit into the account in the case of non-monetary prizes. The document ends with a paragraph informing that participation in the campaign implies the adoption of the basics. Remember: your mastery and the years of experience you can offer your customers will not be enough. In this case, as in so many others, the action must necessarily be combined with legal norms, and any action taken on behalf of a client means that there is a lot at stake. First his photo and then. Yours. If the winner does not contact Boticas23 within a maximum period of 15 days, the prize will be withdrawn for the implementation of future draws. If the winner does not receive the prize sent and the prize is therefore returned to Boticas23, we will assume that the winner rejects the prize and that it will be collected for the execution of future draws.
It is advisable to include a clause releasing liability for the violation of an entrant or prior to the use that the entrant may make with the prize received in such a way that the Promoter is not liable in the event that the winner has abused the prize or violated the provisions of the legal bases. And do not forget that before organizing the prize draw or the contest, you must write a record of the data processing and inform about this processing in the legal bases of the contest. Do not forget this point, because the economic sanctions are very high. And of course, you should not forget to indicate the legal bases of the draw or contest. In this case, it is necessary to clarify on what basis and in which jurisdiction the provisions of the legal bases of the draws and competitions apply. Finally, and as long as they are delivered before a notary of the legal bases of your draws and contests, you must add a final section with the details of the deposit. In the case of sweepstakes and contests in which the participant must generate and publish content, such as photo, video or text contests, this includes a point for the assignment of image rights and / or intellectual property. Example of a campaign with additional checkboxes on the legal bases Currently, the publication of a draw, especially on Instagram, leads to the dissemination of fake accounts that try to scam participants and make them believe that they were winners. Therefore, the publication of the legal bases in which you leave will determine, for example, how you will communicate the winners, preventing some of your participants from being deceived.
If you have any questions about the conditions that affect the draw, you always have an official document to send them to. In the case of contests and sweepstakes, several rules come into play, for example: consumer and user regulations, tax regulations, intellectual property, etc. If there are problems, the consumer or tax authorities will not contact you directly, but with your client, and you do not have to tell me that what you want least is a legal requirement at the door of your office.