Trade promotion competition permits in Australia: a complete guide

Quick answer: If your promotion is a game of skill, no permit is required anywhere in Australia. If it involves an element of chance, permits may be required in NSW, ACT, SA, and NT depending on prize pool size. 

Game of skill: no permit required

If your promotion is a game of skill, a trade promotion permit is not required in any Australian state or territory.

A game of skill is one where the winner is determined by applying judgement, not chance. Common examples include:

• Asking entrants to answer a question, with the best answer winning

• Judging entries on creative merit such as best photo, best slogan, or most original idea

• Voting-based competitions where entrants compete on quality of submission

The key requirement: there must be a genuine and demonstrable judging process. If the judging criteria is clearly defined, your promotion qualifies as a game of skill.

Tip: Always document your judging criteria and process in your terms and conditions. This protects you if a decision is ever challenged. For a full guide to structuring a valid game of skill competition, see the game of skill competition guide.

Game of chance: permit may be required

A game of chance is any promotion where the winner is determined by a random draw, instant win mechanic, or any other element of chance. This is where permit requirements come into play.

Which states require permits for a game of chance?

Important: Even in states that do not require permits, your promotion must still comply with relevant trade promotion legislation, including having compliant terms and conditions.

National promotions: what permits do you need?

If your promotion runs nationally across Australia, your permit obligations are determined by prize pool size:

NSW: duration-based authorities have replaced permits

NSW no longer issues single-promotion trade promotion permits. Instead, businesses apply for a duration-based authority that covers all promotions with a prize pool over $10,000 for the authority period.

• 1-year, 3-year, or 5-year authority options available

• No maximum prize pool limit: one authority covers all promotions regardless of value

• Applies to any game of chance promotion open to NSW residents

If your business runs promotions regularly, a multi-year authority is the most efficient option. See the NSW trade promotion authority guide for application details, fees, and timelines.

ACT: permit required from $3,001

Any game of chance promotion with a prize pool of $3,001 or more that is open to ACT residents requires an ACT permit. See the ACT trade promotion permit guide for full details.

SA: permit required from $5,001 or for scratch-and-win

An SA permit is required when the prize pool is $5,001 or more, or when the promotion involves a printed scratch-and-win mechanic regardless of the prize pool. For example, if you are providing printed scratch cards for the chance to win a t-shirt in venue, a permit is required in SA even if the prize pool is only $50.

NT: conditional requirement

A Northern Territory permit is only required if the prize pool is $5,001 or more AND you have not already obtained a permit in another jurisdiction for the same promotion. For example, if you run a national promotion with a $50,000 prize pool and hold permits in NSW, ACT, and SA, you do not need a separate NT permit.

VIC, QLD, WA, TAS: no permit required

These states do not have a trade promotion permit system in place. However, your promotion must still comply with trade promotion legislation in each state. See the VIC trade promotion authority guide and QLD trade promotion authority guide for state-specific compliance requirements.

How to determine where your promotion is conducted

This is one of the most common questions in trade promotions compliance. There are two ways to determine it.

1. Residency of entrants

If you restrict entry to residents of a specific state or territory, the promotion is considered to be conducted in that state. For example, a promotion open only to NSW residents is conducted in NSW.

2. Location of the entry mechanic

If entry only occurs in a specific location regardless of where the entrant lives, you can argue the promotion is conducted in that location only.

Example: entrants place a business card in a bowl at a conference in Melbourne and the winner is drawn at the event. Even if the winner is from NSW, the promotion can be considered as conducted in Victoria, meaning no permit is required.

Guaranteed offers: no permit required

If every person who completes the entry requirement is guaranteed to receive a gift, there is no element of chance and no permits are required anywhere in Australia.

The key test: Does every eligible entrant receive something? If yes, no permits are needed.

Limited offers: permit may be required

A limited offer involves a cap on the number of gifts available, for example 'first 100 customers receive a gift'. Whether permits are required depends on the claim mechanic.

(a) Gift awarded at point of purchase: no permit

If you award the gift at the time of purchase and remove in-store advertising once stock runs out, no permits are required. The entrant knows immediately whether they have received the gift.

(b) Other claim mechanics: permits may apply

If the claim process involves any delay or uncertainty where the entrant does not know at the point of purchase whether they will receive a gift, the following state rules apply:

First correct entry wins: permit may be required

The same rules that apply to limited offers apply to 'first correct entry' mechanics. If the winner is determined by order of receipt and the entrant cannot know at the time of entry whether they have won, permits may be required under the same NSW and ACT rules outlined above.

Trade incentives: permit may be required

Trade incentive promotions, such as awarding a prize to the employee or retailer with the highest sales, fall into two categories.

Performance-based: no permits required

If you award the prize to the person with the highest sales, the outcome is determined by performance, not chance. No permits are required.

Important: If there is a possibility of a tie, include a non-chance-based tiebreaker, for example 'in the event of a tie, the winner will be determined by the most creative answer to...'. Without this, a tied draw could introduce a chance element.

Draw-based entries: permits may apply

If entrants receive entries into a prize draw based on sales volume, for example one entry per $1,000 in sales, the winner is ultimately determined by chance. The game of chance permit rules in section 2 apply.

Tipping competitions: permit may be required

A tipping competition typically involves entrants predicting the outcome of each round of a sporting season with the most correct tips winning.

• NSW and ACT generally require permits for tipping competitions, as they consider the outcome to involve an element of chance

• SA does not require a permit for tipping competitions

• VIC, QLD, WA, and TAS do not require permits as they have no permit system in place

Internal competitions: permit may be required

If your game of chance promotion is only open to employees of your business, permit requirements are reduced but not always eliminated.

When no permit is required

If the competition is purely for employee engagement, for example 'enter for a chance to win event tickets', and does not incentivise sales, no permits are required anywhere in Australia.

When permits may still apply

If entries are linked to sales performance, for example employees earn draw entries based on sales numbers, permits may be required in NSW and SA, following the same rules as any game of chance promotion.

ACT special rule

ACT does not require a permit for any internal competition, provided the promotion is not advertised externally. If there is any chance the general public could see the promotion advertising, an ACT permit may be required.

Quick-reference permit guide

State-by-state permit guides

Each state has its own application process, fees, and timelines. For detailed guidance:

-> NSW trade promotion authority guide 2026

-> ACT trade promotion permit guide 2026

-> VIC trade promotion authority guide 2026

-> QLD trade promotion authority guide 2026

-> Game of skill competition guide

-> Giveaway rules and regulations in Australia

-> Trade promotions: complete guide

Need help running your promotion?

Working out permit requirements is just one piece of a compliant trade promotion. You also need watertight terms and conditions, a compliant draw process, and a clear record trail. Plexus Promotion Wizard handles permit applications, terms and conditions generation, and end-to-end compliance in one place so you can run promotions with confidence. Legally reviewed terms in as little as 15 minutes.

Last updated: 2026. This guide is for general informational purposes. For advice specific to your promotion, speak with a Plexus compliance specialist.