Ottawa barber, client share $32M lottery win

Comment #33

amininflorida — Sat, 02 Aug 2008 15:49:46 GMT

WHAT ARE THE TAXES IN CANADA.....? I AM CANADIAN THERE ARE NO TAXES !

Imagine that huh? WOW

Comment #32

justxploring — Fri, 11 Jul 2008 17:46:16 GMT

Hi, time*treat. I was typing when you posted. Yes, I wonder what will happen after 2010. It sounds a bit eerie, but I said to an elderly neighbor not long ago when joking about his money how he didn't want the government to tax his children .. Just plan to die in 2010. He had a heart attack died in April.

BTW, I thought this just impacted estate tax, not gift tax. I agree that the IRS is the best place to learn about any tax law, but not to find out how to avoid paying tax, even if you want... [ More ]

Comment #31

justxploring — Fri, 11 Jul 2008 17:36:23 GMT

Hi, Sandra. I really liked you in Tammy.

There are many sources

(1) Search the LP archives for threads about Gift Tax.

(2) Google the 2 words Gift and Tax.

(3) Go to the IRS official web site and search for info on Gift Tax

It's not that I'm right or wrong - just reporting what the IRS dictates. If you've seen articles that say it is $10,000 then they are old. It used to be $10,000 with a lifetime exemption of $600,000 but it's been increased. Maybe it will increase in 2009 or b... [ More ]

Comment #30

time*treat — Fri, 11 Jul 2008 17:28:41 GMT

No place better for confirmation than ...

http://www.irs.gov/newsroom/article/0,,id=107815,00.html

Just remember, tax law changes and there will be some BIG change s in 2010.

Comment #29

Sandra Dee — Fri, 11 Jul 2008 15:41:08 GMT

where can i confirm this? i always thought it was $10K and that they had to pay but your deal is much sweeter

Comment #28

GamerMom — Thu, 10 Jul 2008 17:38:09 GMT

Buy a home on the beach and hire your parents to be the caretakers.

That's an awesome idea

Comment #27

justxploring — Thu, 10 Jul 2008 17:31:01 GMT

Just keep in mind that tax on gifts is only paid by the giver, not the recipient. Maybe I misunderstood you, but it's not $12,000 total. You can give $12,000 to as many people as you want. So you can write a check for $12,000 to each of your parents without having any effect on their income. You can also pay for medical expenses, including health insurance premiums and education. However, you are only allowed a total exemption of $1 million in your lifetime. You can also give much more than $12,... [ More ]

Comment #26

GamerMom — Thu, 10 Jul 2008 14:23:19 GMT

I wouldn't give my relatives cash money. You can only give 12 grand without tax implications. I might buy them things like an HDTV but really I would much rather give them gift cards. For example, my parents are not too many years from a civil service retirement. Rather than giving them enough money to retire early (and thus lose benefits and money) I would give them enough on gift cards to buy all of their groceries and clothing so they could use their own money to pay off bills and such. Tax p... [ More ]

Comment #25

MillionsWanted — Thu, 10 Jul 2008 08:28:57 GMT

Hi! You're welcome! Bye bye, see you again.

Comment #24

ThatScaryChick — Thu, 10 Jul 2008 04:25:23 GMT

Welcome to Lottery Post Shortmoma1

Comment #23

shortmoma1 — Thu, 10 Jul 2008 03:15:56 GMT

HI EVERYONE IM JUST INTRODUCING MYSELF SINCE IM NEW MY NAME IS SHORTMOMA1 BYE BYE

Comment #22

DC81 — Thu, 10 Jul 2008 00:16:50 GMT

I'd just use initials that have nothing to do with my name or anyone's name if I can, they'd would stand for something but only I would probably know since anyone else still wouldn't have a clue even if it reminded them of something that I used them for, they probably don't even remember what they stood for. It would sound like a partnership to anyone who saw the name of the trust.

Damn, 35 relatives... I barely have three people I'd even considering giving a nickle to, let alone 35. I s... [ More ]

Comment #21

LottoLin — Wed, 09 Jul 2008 23:25:01 GMT

A Blind Trust is a Trust that you put your money in where you don't want anyone to know that you won a large amount of money or a lottery.

You can put the Trust in you and your spouse Initials or a name made up of part of your last name and your wifes maiden name. A Lawyer will explain if you want a Blind Trust what you can and can't do when you put a name on the Trust. I've seen some with Initials of the family members.

This way relatives, people wanting money won't know you have it or ho... [ More ]

Comment #20

Uff Da! — Wed, 09 Jul 2008 22:26:08 GMT

I'm not sure what you mean here, but since I signed a notarized affidavit gifting shares in any MM ticket I purchase in the next year, the IRS will have verification that it was shares in the one dollar tickets I purchase that was gifted, not a gift given after the win. In the event of a jackpot win, we'd have to form a legal corporation, partnership or trust to claim it for the group. I would not claim it personally. Consequently, I would not be paying income taxes on anyone else's shares. Nor... [ More ]

Comment #19

justxploring — Wed, 09 Jul 2008 21:55:42 GMT

Depends on where you live. It's legal in some states to claim your prize as a Blind Trust (not in Florida) Actually, a Blind Trust or LLC can claim a lottery prize in FL but your name, city of residence, the date you won and the amount will still be available to the public.

Comment #18

Uff Da! — Wed, 09 Jul 2008 21:55:42 GMT

In my case it would be far clearer than just coming up in a conversation. I've signed a notorized statement gifting shares in any MM ticket purchased in the next year. In the event of a jackpot win, we'd have to form a legal partnership, corporation or trust with all parties named and the number of shares each would be there for all to see. However, I see absolutely no reason to keep all shares alike. Why should my adult step-grandchildren get as much as my stepchildren? Why should my adult neic... [ More ]

Comment #17

Trained2beRich — Wed, 09 Jul 2008 17:47:47 GMT

for clarifcation purposes each person will get 1 or 2 percent? if thats true that 160k (according to no tax canada as one poster stated) per person. and YOU will pay taxed on it. Unless you mean there share the 1 or 2 percent pot

Comment #16

Trained2beRich — Wed, 09 Jul 2008 17:43:37 GMT

Hey Mike32 looks like I was misinformed about a blind trust. what i meant is that would collect it anonymously.

Comment #15

Trained2beRich — Wed, 09 Jul 2008 17:41:00 GMT

thats true but if relative A got 10k and relative B got 5K and somehow it came up during a conversation Relative B would be jealous and would ask why do you like A more than me? etc. I would treat all equally.

Comment #14

Wintariofan — Wed, 09 Jul 2008 09:02:19 GMT

You're right Fraser ... it's all tax free. all lottery games are tax free here until you put it in the bank. Also on a side note: if you plan on giving family members money over $50,000 -- you need to have their names on the back of ticket and tell lottery officals how much your are giving them, otherwise they could be taxed after if you simply gave them $1 million.

Comment #13

MillionsWanted — Tue, 08 Jul 2008 19:51:56 GMT

$1.50 for 16 million dollars is a good trade. If Haddad had been cynical he could have denied Detorre his part of the prize since he didn't pay up front.

Comment #12

justxploring — Tue, 08 Jul 2008 19:00:45 GMT

When I decide to have my book LP posts by justxploring printed for publication, I'll make sure I use proper grammar, punctuation and sentence structure before it is available for sale to the public.

Comment #11

time*treat — Tue, 08 Jul 2008 18:55:29 GMT

I include free cheese in all my slums , but I'd also like to know which states don't permit rats to bite the children. I could save money on cheese.

Comment #10

justxploring — Tue, 08 Jul 2008 18:44:58 GMT

Sounds good to me. (she writes as if she has a law degree. lol) Just keep in mind that Wikipedia is not always 100% correct since it is written by people like us and can be edited. I once asked a lawyer about this subject and that's the answer I got in a nutshell, but I think there are volumes written about trusts and why people create them.

Personally, I would never give another person power over my assets. Blind Trusts have also been used for more sinister reasons. In real estate, many slu... [ More ]

Comment #9

One2Adore — Tue, 08 Jul 2008 18:06:12 GMT

A blind trust is a trust in which the executors or those who have been given power of attorney have full discretion over the assets, and the trust beneficiaries have no knowledge of the holdings of the trust. Blind trusts are generally used when a settlor (sometimes called a trustor or donor) wishes to keep the beneficiary unaware of the specific assets in the trust, such as to avoid conflict of interest between the beneficiary and the investments. Politicians often place their personal assets

Comment #8

Uff Da! — Tue, 08 Jul 2008 15:10:32 GMT

Sharing with their relatives does not mean equal shares. There is nothing in the story to indicate the others are equal lottery winners.

I'd share with a large group of extended family, too, but most of them would only get one or two percent

Comment #7

mken32 — Tue, 08 Jul 2008 13:10:52 GMT

what is a blind trust and why would you set one up

Comment #6

Fraserm — Mon, 07 Jul 2008 22:11:48 GMT

There are no taxes on initial lotto winnings in Canada. They both get 16 million straight to the bank.

Comment #5

MaddMike51 — Mon, 07 Jul 2008 21:37:25 GMT

Lucky dogs

Comment #4

Trained2beRich — Mon, 07 Jul 2008 21:29:45 GMT

yes I know. sometimes I replay my quck pic numbers because they are numbers I would never consider playing.

Comment #3

Trained2beRich — Mon, 07 Jul 2008 21:28:15 GMT

This is a very sweet story. There is not greed involved. One splurges with $3 dollars and then collets the $1.50 after he realized it was a winning ticket.. what shocked me actually was the 35 relatives!!! I don't know what the taxes are in Ontario but if is cash value that about 8 million before taxes it could be $5 million after taxes which is nice. But geez 35 relatives if they all got 10k each thats an average of 175k for each lotto winner. I only have 3 peple to tell when i when=Mom,Dad bro... [ More ]

Comment #2

justxploring — Mon, 07 Jul 2008 18:04:41 GMT

Maybe the man was in shock when he scanned his ticket or had the good sense to keep his composure. It would be difficult not to shout aloud or do a happy dance but that's why I check my numbers online!

Nice story. Wow - 30 years of playing together. So maybe there's hope for me after all! Notice the article says the winning ticket was a replay of a Quick Pick? (wish FL would bring back the 6/49 game

Comment #1

ThatScaryChick — Mon, 07 Jul 2008 17:56:09 GMT

That is a nice story. Congrats to them both

Ottawa barber, client share $32M lottery win

Lottery Post — Mon, 07 Jul 2008 16:46:42 GMT

Two Ottawa men are splitting a $32 million lottery jackpot after decades of buying tickets together.

It hasn't sunk in yet, one of the winners, Samir Haddad, said Thursday. Today, signing some papers, my hands were shaking. When I look at all the zeroes...

Haddad, 57, and his friend and barber Mike Detorre, 71, were back in Ottawa after taking four limousines and 35 relatives with them to Toronto to pick up their Lotto 6-49 winnings the day before.

Haddad, who installs hardwood floo... [ More ]