There is an exemption for lottery profits, provided:

• the lottery is an exempt lottery (within the meaning of the Gambling Act 2005) or
• the lottery is promoted in accordance with a lottery operating licence (within the meaning of the Gambling Act 2005) or
• the lottery is promoted and conducted in accordance with the relevant Northern Ireland gaming legislation.

In addition, the profits must be applied to the purposes of the charity only. For more information, see Lottery Duty.