Gambling winnings tax in the USA

[PX-Z]

Well, the breakdown of the tax is explained, the percentage might differ from states and countries, and it's the reality. But at the end, that's still a large sum of win from a simple number guess you have and paying a mere dollars for its ticket.

But there are some lottery out there that is tax free, well, you will be rich when you hit that. But when you will file ITR quarterly or annually then you will be still paying tax too and that is included in the breakdown in Forbes which is quite normal for a taxpayer.

[1715532590]

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[1715532590]

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[romero121]

This is common around every country having their specific taxation slabs. In my country big lotto wins were taxed at 35-40% and every winner will receive the 60% amount. In some category the agent under whom the winning lotto is being elected gets a small compensation. Whatever, the free money out of luck needs to be utilised in a right way.

[yahoo62278]

According to this article https://www.lottoanalyst.com/what-are-the-taxes-on-lottery-winnings-in-the-us they should only pay about 37% in taxes which regardless is still a lot to lose.

Governments are greedy period, doesn't matter if it's the USA or another country, most are gonna get their piece.

[dezoel]

If we are on his shoes I think the emotions we feel are mixed. We are happy because we win big and then sad knowing that the cut from the tax are much higher than on what we won. Imagine if you are on a country which is corrupt.

I think that is another thing which can make you annoyed because the money won't go for the country's development or to help the poor but it will only go straight on their own pockets. After this news, many are now going to get discouraged to bet on local lotteries but they will now consider crypto betting because they can get most of their money and then they can get it in an instant. It is also safe since it's online.

[Viscore]

so recently I saw a news circling around the internet regarding someone from the US winning the lottery jackpot worth $1.28Billion, but then several days later, I saw this article. apparently the winner of the Lotto jackpot will only get $433.7M after the total amount of winnings is taxed. it's ridiculous how the government got more money from the lotto jackpot than the actual winner. I know that $433.7 million is still a lot of money but it is still disheartening how $800 million was taken away due to tax.

https://www.forbes.com/sites/robertwood/2022/07/30/winning-128-billion-lottery-ticket--gets-4337-million-after-tax/?sh=5582ea32028d

If it has been adopted as a law in the US, then no one can go against it. After all, I have known through research that US taxation is quite high compared to other countries like Mexico and Colombia. However, they also have standards that if you are rich, you will have to pay high taxes compared to average people. With this lottery jackpot prize, the winner still have no right to complain as he will always be taxed because of his winning huge amount prize, and the fact that it comes as only a bonus for him.

[Slow death]

I always criticize the government of my country for being very poor, but here is something that in my country is very good:

in my country the lottery winner always receives the full amount, he is not deducted tax on the winning, if he wins 100,000$, he will receive 100,000$ total, not a penny less. this is the very good part of my country. on salary gains people are deducted 10% only income above 1000$ monthly, now in the value added tax part that is for import of goods the person ends up paying 300% of the value of the thing that the person imported, of course this 300% value is calculated in my country's local currency. but on gambling the tax is very low and the lottery winner is not deducted at all