(A) With respect to organizations exempt from payment of the bank and corporation tax by Cal. Rev. & Tax. Code § 23701d, all profits derived from a bingo game shall be kept in a special fund or account and shall not be commingled with any other fund or account. Such profits shall be used only for charitable purposes. With respect to other organizations authorized to conduct bingo games pursuant to this chapter, all proceeds derived from a bingo game shall not be commingled with any other fund or account.
(B) Such proceeds shall be used only for charitable purposes, except as follows:
(1) Such proceeds may be used for prizes.
(Cal. Penal Code § 326.5(k)(1)) (`67 Code, § 6-9-21) (Ord. 93-03, passed 9-13-93)
(2) A portion of the proceeds, not to exceed 20% of the proceeds before the deduction for prizes, or $2,000 per month, whichever is less, may be used for the rental of property and for overhead, including the purchase of bingo equipment, administrative expenses, security equipment, and security personnel.
(Cal. Penal Code § 326.5(k)(2))
(3) The proceeds may be used to pay license fees.
(Cal. Penal Code § 326.5(k)(3))