they take taxes out. give the person the rest ok. now do they have call that -a income, pay in on that...yes or no.. please only true answers. thank--you.
2007-04-03 16:21:23 · 5 answers · asked by Anonymous in Games & Recreation ➔ Gambling
About a month ago they had a big Mega Millions Drawing here In New York, it was for around 360 million dollars, I read an article that if one person was to win that prize the federal goverment would take 250 million leaving the winner with 110 million. On any big lottery prize the goverment will end up taking 50 to 70% that is just the way it is.
2007-04-05 19:29:17 · answer #1 · answered by paul s 4 · 0⤊ 0⤋
By taking the lump-sum you only pay taxes once, for the year in which that lottery winnings were received. The lottery money is not taxed again in subsequent years. However, if the money is invested, earnings from those investments will be subject to tax.
2016-05-17 03:20:45 · answer #2 · answered by ? 3 · 0⤊ 0⤋
They take out the lion share of taxes before they give you the check. After that the rest is subject to federal income tax. What you have earned + what you have won. Plus you are subject to local and state income taxes based on where you live and if your local or state government has an income tax.
2007-04-03 16:27:04 · answer #3 · answered by answerman 3 · 0⤊ 1⤋
they take their share, the rest is yours
2007-04-03 16:25:02 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Worry about it when you win.
2007-04-03 16:24:16 · answer #5 · answered by Anonymous · 0⤊ 1⤋