Yes — you must enter the full Fair Market Value (FMV) for raffle tickets in ClickBid, and it should match the ticket price exactly.
⚠️ Warning: Raffle ticket purchases are not tax-deductible, even if bought through a nonprofit auction. Entering a correct FMV ensures ClickBid does not display misleading tax deduction language to bidders.
📚 Why FMV Matters for Raffles
The IRS treats raffle ticket purchases as transactions in which the buyer receives a chance to win something in return — not a charitable donation. That means:
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You should not advertise any portion of the purchase as tax-deductible.
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The FMV (Fair Market Value) should be equal to the price of the ticket, so ClickBid won’t indicate a possible tax-deductible amount.
ℹ️ Info: FMV only applies to quantity items like raffle tickets, wine pulls, or games.
🛠️ How to Set FMV for Raffle Tickets
To ensure accurate IRS compliance and proper reporting:
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Go to the Items tab in your ClickBid admin.
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Click Manage Items.
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Find and click on your raffle ticket (Quantity Item).
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In the Market Value field, enter the exact price of one raffle ticket.
💡 Tip: If you're selling tickets at different price tiers (e.g., 1 for $10, 3 for $25), you’ll need to reflect the single-ticket value across all item setups individually.