Section 1360-03-03-.11 - ACCOUNTING PROCEDURES(1) Records: (a) Record Keeping. Accurate records shall be kept by each authorized organization in a manner which shows in detail the amount and source of gross receipts, the expenses incurred and the name and address of each person receiving a prize over fifty ($50.00) dollars and the value of the prize. Prize information shall be reported on Form SS-6066 or Form SS-6070.(b) Access to Records. The Secretary of State, the Attorney General and Reporter and the Tennessee Bureau of Investigation or their authorized agents or representatives shall at all times have access to all books and records of any authorized organization for the purpose of examining and checking them.(c) Period of Retention of Records. All records, books of account, bank statements and all other papers related to the operation of an annual gaming event shall be retained and available for inspection by the Secretary of State and the Tennessee Bureau of Investigation or their authorized agents or representatives for a period of at least five (5) years after the date of the annual gaming event to which they relate.(d) Payment of Allowable Expenses. Money for reasonable and necessary expenses may be paid from gross receipts only by checks having preprinted consecutive numbers drawn on the organization's account. Said checks must be made payable to the specific person providing the goods or rendering the service which gives rise to the expense item and at no time may checks be payable to "cash" or "bearer."(e) Prizes, Donated Prizes, Goods, or Services. The organization shall disclose the fair market value of all prizes, goods and services as revenue (cash or in-kind) on the Financial Accounting form (SOS Form SS-6066).(2) Reporting. All organizations must file a financial accounting with the Division on forms approved by the Division along with the remainder fee due pursuant to Tenn. Code Ann. § 3-17-106(a)(1) and Rule 1360-03-03-.02. If the organization generates over seventy-five thousand dollars ($75,000) in gross revenue, the organization must also complete an audit of the annual event in accordance with Tenn. Code Ann. § 3-17-106(c).Tenn. Comp. R. & Regs. 1360-03-03-.11
Original rule filed October 7, 2005; effective February 28, 2006. Amendment filed January 14, 2009; effective May 29, 2009. Emergency rule filed August 8, 2014; effective through February 4, 2015. Emergency rule expired effective February 5, 2015, and the rule reverted to its previous status. Repeal and new rule filed June 9, 2015; effective September 7, 2015. Emergency rules filed March 29, 2018; effective through September 25, 2018. Amendments filed June 12, 2018; effective September 10, 2018. Amendments filed December 27, 2021; effective March 27, 2022. Amendments filed January 8, 2024; effective 4/7/2024.Authority: T.C.A. §§ 3-17-103(a)(5)(B)(i), 3-17-106, 3-17-106(a), 3-17-106(b)(1)-(4), 3-17-106(c)(1)-(4), 3-17-108(a)(1)-(2), 3-17-115, and 3-17-115(a).