N.J. Lottery goes from zero to highest tax rate in the USA

Comment #63

OldSchoolPa — Mon, 13 Jul 2009 02:09:25 GMT

Well if you look who sponsored this bill, it was ALL Democrats. And the damage from the last 8 years really started under Clinton's administration...HE is the one responsible for the meltdown in the financial markets and bank failures as he is the one who repealed the provision that had prevented banks from becoming too big to fail.

So stop parroting what Papa Obama has hypnotized into your lemmin brains...the past 8 years...the past 8 years...and actually start thinking about what has actua... [ More ]

Comment #62

OldSchoolPa — Mon, 13 Jul 2009 01:45:11 GMT

Yes...the nation is getting EXACTLY what it VOTED for...higher taxes all around because the Democrats rule the crown (just trying to rhyme...but with Papa Obama knighting czars in different areas, it is almost true that we now have an oligarchy). And if you listen to all of Papa Obama's speeches, he ALWAYS emphasizes the importance of democratic rule...establishing a democracy in Iraq and Afghanistan...the successful democratic election in Ghana, etc. Our Republic has gone to hell because of all... [ More ]

Comment #61

KY Floyd — Fri, 10 Jul 2009 18:50:50 GMT

I can hardly describe the agony of lying awake at night while my heart bleeds for those poor people who win enormous amounts of money and only get to keep 60% or more of enormous.

Seriously, anybody who's up in arms about this and isn't one of the (very few) people actually affected must not have a clue about the real impact. The way lottery prizes are structured most of the prize money in most games is reported to the IRS, but the vast majority of winners aren't reported. Here's a breakdown... [ More ]

Comment #60

Think — Wed, 08 Jul 2009 02:09:18 GMT

I have never won a big prize but I don't have to to feel that way. Everytime I pay tax and ,lately, utility bills I feel like I am contributing money to charity as I do not get anything from all these great new programs.

Screwed by DTV switch, Screwed by cash for clunkers, Screwed by GM, Screwed by Chrysler, Screwed by the surcharges on utility bills. I don't even want to ask how they are going to f**k up health care...and I know it wont stop there.

Anyway my point is that you no lon... [ More ]

Comment #59

jarasan — Tue, 07 Jul 2009 23:19:20 GMT

Credit must be given where credit is due. Konane posted this a few weeks ago on Konane's blog, in a nut shell it is one of the most concise explanations to help understand the political spectrum.

There is no doubt if one watches this excellent video they will have a better understanding of the direction USAmerica is taking.

Taxes are the life blood of a growing vampire oppressive govt.. Those taxes are demanded by the ever growing oppressive US govt. from the very people that put them in... [ More ]

Comment #58

Set4life — Tue, 07 Jul 2009 21:02:48 GMT

i have to agree myself, great video ! as for the taxes lol, it wont stop going up,up and away.

Comment #57

MaddMike51 — Tue, 07 Jul 2009 20:24:37 GMT

Great video.It should be required viewing for every American and potential American.

Comment #56

HiFi — Tue, 07 Jul 2009 20:12:33 GMT

every bit of tax money is spent meaningfully, really? what we need to do now is cut spending, not raise taxes. theres so much wasteful spending going on, its more like nothing for something .

Comment #55

MADDOG10 — Tue, 07 Jul 2009 09:05:51 GMT

Definately need a refresher course. Democracy as we know it will soon choke itself and then another civil war will erupt again. This State is reallly the pits right now. They call themselves polititions and are doing what the public wants, huh, put this to a vote, and then convict them....!!!

Excellent video.....

Comment #54

jackpotismine — Tue, 07 Jul 2009 07:10:09 GMT

No I'm not! Yes you are! No I'm not! Yes you are! No I'm not! Yes you are!

Listen, it doesn't matter who's in charge. No party has proven to be better than the other in my humble opinion.

You're the naive one! No I'm not! You're the naive one! No I'm not! Nah,Nah,Nah, Nah, Nah, Nah

Comment #53

Todd — Tue, 07 Jul 2009 05:36:34 GMT

Excellent video.

Comment #52

Todd — Tue, 07 Jul 2009 05:25:07 GMT

You sound like someone who has never won a big prize, and thus never saw most of it taken away by the government. That experience would probably alter your viewpoint. Myself, I don't need to wait until I win to know what it would be like. The selfishness and tyrannical attitude of the government, assuming they can steal from one group of people and bestow it on another, is not American. Sorry, it's not.

Comment #51

Prob988 — Tue, 07 Jul 2009 04:58:22 GMT

Here's the deal. Taxes are what you pay for living in a civilized country.

The Reagn/Bush/Bush mentality is something for nothing, sort of like winning the lottery, although there's no winnings.

Governor Cartoon has now run his state into the ground. The cops, the prisons, the schools, the roads, the parks, the hospitals are all threatened, shut, or falling to pieces.

I live in New Jersey. I love my state, good education for my kids, good cultural connections. wonderful parks, great cit... [ More ]

Comment #50

jarasan — Tue, 07 Jul 2009 02:35:47 GMT

We need a refresher here:

We are going left big time, see if you can understand why. Democrats are leftists, Chinese communists are leftists, North Korea communists are leftists, Hugo Chavez is leftist socialist fascist, Hitler was a leftist, Marx was a communist leftist.

Question: What is our congress majority and Barack Obama

Comment #49

megamillionaire — Tue, 07 Jul 2009 01:53:43 GMT

Being a New Yorker I used to envy the Jersey folks because they got to keep more of their winnings, now I pitty them because now we get to keep more. Most countries with lotteries don't tax them but the US has to be greedy, and the states even greedier.

Comment #48

maringoman — Mon, 06 Jul 2009 20:10:25 GMT

What the hell is going on??? is that the answer to everything now?

tax everyone to death? I wanna see the NJ lotto sales numbers

exactly one year from today. Admin keep us posted.

sick sick politicians foaming at the sides of their mouths

when they think of more taxes, ugh

Comment #47

dpoly1 — Mon, 06 Jul 2009 19:11:00 GMT

You didn't read the entire POST ................ and

It would be a great start !!!!!

You are the naive one !!!!!!

This nonsense started with FDR and developed exponentialy with Johnson's War on Taxpayers - he called the war on poverty

Comment #46

jackpotismine — Mon, 06 Jul 2009 08:29:48 GMT

You got to be kidding!!! You think that's the solution? You're so naive.

Comment #45

dpoly1 — Mon, 06 Jul 2009 05:12:21 GMT

Time to get rid of ALL Democrats !

We are no longer constituents - we are just sources of income

Comment #44

Awinanme2 — Sun, 05 Jul 2009 14:17:39 GMT

A few Republicans have used these antics as well. Pride and Political lies don't discriminate, I'm sure we all have numerous example we could cite.

Comment #43

HiFi — Sun, 05 Jul 2009 03:49:37 GMT

sheeler, that's real mature. i think this tax is an outrage and im considering boycotting the lottery and not buying anymore tickets. this takes the fun out of winning.

Comment #42

sheeler — Sun, 05 Jul 2009 01:56:54 GMT

I'm happy because New Jersey have won more Jackpot than any other states. Thats good. I was hoping something like that was gonna happen and it did. Thanks God

Comment #41

myzeus — Sat, 04 Jul 2009 23:35:04 GMT

I would say the same about Republicans. I do believe this is something the Republicans cooked up.......a bunch of bushwhacks that need their money and those same Republicans continue to bankrupt the people...they did enough damage for the last eight years.

Comment #40

Dawn32 — Sat, 04 Jul 2009 17:44:11 GMT

I'm so glad I moved out of NJ.

Comment #39

dopey7719 — Sat, 04 Jul 2009 14:44:17 GMT

Good One!! I totally agree...and I haven't even won big....YET

Comment #38

dopey7719 — Sat, 04 Jul 2009 14:42:37 GMT

I'm glad to know I'm not alone.

Comment #37

GamerMom — Sat, 04 Jul 2009 13:39:57 GMT

I can understand them changing it but not making it RETROACTIVE. If i win I will make sure to set aside some $$$ to pay my taxes when the time comes because my state has a state tax. But it seems grossly unfair to say oh wait you remember that money you already spent to pay off your house and bills? Well now you have to pay taxes on it. What if they have none of the $$ left. I'm talking about the people that won low tier prizes here. If I won $10,000 it would be like a drop in the bucket so I wo... [ More ]

Comment #36

myturn — Sat, 04 Jul 2009 05:50:17 GMT

Maybe the residence of N.J. should vote with their pockets, and telephones, and switch to the Massachusetts lottery games, which are available out of state by subscription

Comment #35

gy65 — Sat, 04 Jul 2009 03:42:49 GMT

Just not much public compassion for lottery winners I guess! Perhaps Geico should consider replacing Cave Man with Lottery Winner in their advertising campaign.

Comment #34

Nostrildamus — Sat, 04 Jul 2009 02:31:45 GMT

I'm saving all my losing scratchers and numbers tickets and I almost have enough to wallpaper my house.

Comment #33

TheGameGrl — Sat, 04 Jul 2009 02:25:59 GMT

Johnph77, Sorry others didnt catch your simple yet accurate statement. I caught it and agree that they already got there slice of the pie.

Comment #32

KY Floyd — Sat, 04 Jul 2009 01:52:58 GMT

Constructive possession isn't any more open to interpretation than income. Nobody says ypu need to cash your paycheck right away, but I can't imagine you would honestly try to claim that you didn't earn the income until you actually get around to cashing it. As I said, you may be able to put it off for up to 60 days, but other than that it's pretty much written ins tone as far as the IRS is concerned.

As long as you don't sign it or post a claim at lottery HQ...isn't the ticket simply a piec... [ More ]

Comment #31

ohiopick3 — Sat, 04 Jul 2009 01:23:05 GMT

That's terrible for NJ

Comment #30

PERDUE — Sat, 04 Jul 2009 01:17:55 GMT

Can anyone say GREED!!! Budget my AZZ!!! This is pure unvarnished GREED!!! Vote the greedy snip s out the first chance you get!! When election time roll around don't conviently forget what these greedy politicians did. It's not like they received a pay cut or reduced the use of unnecessary items in all of their departments. It's not like they (politicians) started paying for their business trips out of their pockets. These fat cats are getting too fat. Time to put the pudgy snip s on a lean mean... [ More ]

Comment #29

Coin Toss — Fri, 03 Jul 2009 22:15:00 GMT

We really need to copy other countries (on both the Federal and State levels) and have no taxes on gambling winnings.

If NJ did this after seeing NH's 10% tax kick in, it didn't take long at all, did it?

Look for all the other states with lotteries to folow suit, this will be just like one of those domino set-ups.

Comment #28

RJOh — Fri, 03 Jul 2009 22:06:21 GMT

Ohio treat lottery winnings like regular income and taxes it using the same rates. Until recently New Jersey was one of only four MegaMillions states that didn't do that. California, Texas and Washington still don't but with California having budget problems I bet they are the next to change the rule. From what I've read New Jersey was already taxing regular income over $500K at 8.9% so they could have accomplished almost the same results by treating lottery winnings as regular income as Ohio do... [ More ]

Comment #27

johnph77 — Fri, 03 Jul 2009 21:40:25 GMT

Somehow lost in the numerous posts in this thread is the fact that the state is already taking out about 50% of the money wagered as a house edge. Now they want more.

Comment #26

jarasan — Fri, 03 Jul 2009 21:31:15 GMT

Is NJ Democratic

Comment #25

DC81 — Fri, 03 Jul 2009 21:23:53 GMT

Geez, it looks like they wanted to one up New Hampshire.....

Either way, politicians suck.

Comment #24

SpanaUnlimited — Fri, 03 Jul 2009 19:55:42 GMT

I don't want to scare you. But the numbers you posted are just the taxes being withheld. When it comes to the feds and filing taxes in April.....the tax for the yr can be as high as 35%. Add on the state tax.....and if you live in NH or NJ....that is almost half of your money gone.

Comment #23

JONNIE — Fri, 03 Jul 2009 18:20:34 GMT

Throw em all the hell out!!! Now they expect lottery winners to bail out their screw ups!!! This is an outrage. NJ is already one of the most expensive states in the country to live in with basically the highest property taxes in the nation wth no rebates this yr thanks to this fu-- Corzine. Now if u actually win the lottery, it would have to be a really high jackpot to secure any financial freedom withthis 11% crap. BS

Comment #22

LotteryGuy — Fri, 03 Jul 2009 17:57:54 GMT

Todd, yes I had deleted my post because I was initially confused thinking we have 31% tax in Ohio and then I finally realized that this is a State tax of which ours is 6% currently . So, let me get this straight....with federal and state tax, then winners will be paying 25% federal and 11% state? Making the total tax 36%?! If that's the case, that is ridiculous. Of course, in Ohio anything won above $599.00 you have to pay a total of 31%, which I think is horrible.

Comment #21

Todd — Fri, 03 Jul 2009 17:40:06 GMT

@LotteryGuy: I see you deleted your post, but I just thought I'd mention that federal taxes are the same for all states. The only difference is with the state portion of taxes. Also, in some cases, such as New York City, there are additional local taxes, on top of the state and federal taxes. Even so, the new N.J. taxes exceed those.

Comment #20

Think — Fri, 03 Jul 2009 15:56:37 GMT

We were one of the few states that did not tax winnings, Treasury spokesman Tom Bell said. We're facing historic shortfalls in revenue. We had to look for solutions.

Translation-

We were one of the few states that did not tax winnings, Treasury spokesman Tom Bell said. We're facing historic shortfalls in revenue. We had to look for WAYS TO MAKE THOSE SHORTFALLS WORSE!

Only prizes of more than $10,000 will be taxed under the law. The tax rate will range from 1.4 percent up to as... [ More ]

Comment #19

MaddMike51 — Fri, 03 Jul 2009 14:08:39 GMT

I couldn't have said it better myself.Democrats are the tax spend party.

Comment #18

NY216 — Fri, 03 Jul 2009 14:08:35 GMT

Yes, because Republicans are so much better.

Comment #17

rcbbuckeye — Fri, 03 Jul 2009 13:52:45 GMT

Noticed that 2 of the bill's sponsors are Dems. A lesson to everyone. If you vote for politicians that like to take your money, you will get politicians that like to take your money. Todd, I think you would agree this is the kind of change that people unwittingly voted for and now everyone is going to pay dearly.

I truly feel sorry for those that live in NJ.

Comment #16

Raven62 — Fri, 03 Jul 2009 13:12:03 GMT

So much for Responsible Government and Self-Serving Polititians!

politic: characterized by policy; sagacious or prudent

sagacious: having or showing keen perception or discernment and sound judgment

Time for a Change: Vote the Current Group Out: Maybe the next Group Will Be Better

Comment #15

dopey7719 — Fri, 03 Jul 2009 10:46:31 GMT

I thought of doing that but I'm too afraid to see how much money I actually spent in a year on the lottery....seeing that total may just make me pass out

Comment #14

markp1950 — Fri, 03 Jul 2009 10:43:31 GMT

One other thing. Save your losing tickets!

You get to deduct your loses from your income.

I wiped out $1,600 in taxes in '05 by showing loses.

And wiped out a big bunch of my takes when I won $10K in PB in '06.

That is because it took loses to get the income.

MarkP

Comment #13

jojosurf — Fri, 03 Jul 2009 10:41:45 GMT

first of of all players put the money in a poo for lottery and they are taxed on that money when they earn it if they win money it comes from pool of all players and lottery should not be taxed especially at that rate don't play for a week buy your tickets in other states same thing happened to your casino's now they are hurting from competion my opinion only

Comment #12

dopey7719 — Fri, 03 Jul 2009 10:41:12 GMT

At first I thought this article was some kind of joke. I cannot believe this....and I live in South Carolina where being taxed on everything is a way of life.

This retroactive thing is what REALLY sucks. These lawmakers are nothing more than snake oil salesmen. Those that won before July should band together and sue the state!

This is just disgusting.....it's like giving a child a present and then once he opens it telling him he has to give some of it back.

What about the poor souls... [ More ]

Comment #11

markp1950 — Fri, 03 Jul 2009 10:10:46 GMT

I don't know if you would call it retroactive . Taxes for this year are paid for this year. All of this years taxes are subject to change. Now if they tried to change laws for payments in 2008, now THAT would be wrong. Of course anybody who took their winnings in 25 or 30 payments in previous year would have to pay this year. All the more reason to take it in one lump sum and get to a true tax free state like Wyoming or Texas.

I really don't think that too many people will feel sorry for lot... [ More ]

Comment #10

diamondpalace — Fri, 03 Jul 2009 08:24:46 GMT

I miss seeing riots.

Comment #9

MADDOG10 — Fri, 03 Jul 2009 07:50:07 GMT

This is how The politicians especially Democrats operate. They stay under the radar by sponsoring bills such as this, to stay corrupt without being in the limelight. Now is the time to show how corrupt they really are. Wake up people.....!

Truly pathetic...

Comment #8

ronki — Fri, 03 Jul 2009 07:10:29 GMT

Vote them all out see how they like that . bunch of A-holes

Comment #7

SpanaUnlimited — Fri, 03 Jul 2009 06:04:19 GMT

When you mention constructive possession ----isn't that open to interpretation. In the news you hear of people who buy tickets and then stash them in a shoe box and sometimes they wait until the last minute to cash it in. Also if you look at the back of your lottery ticket it clearly states it is NOT valid until signed and verified by lottery officials. As long as you don't sign it or post a claim at lottery HQ...isn't the ticket simply a piece of paper you bought for $1. It isn't really worth m... [ More ]

Comment #6

petergrfn — Fri, 03 Jul 2009 06:00:49 GMT

Just wait....States are basicly broke and looking for any cash to plunder. Anything you have or buy they want to tax it....Soda, Cigarettes, Beer......Just wait they will get creative your Taxes and Mine are going sky high....They have to make up the money some how after blowing Billions on Stimulus and Tarp . Would have been better off giving away a few hundred thou to some lucky folks and having them stimulate the econ and buisnesses.......The way the Gov't looks at it is all your money is the... [ More ]

Comment #5

KY Floyd — Fri, 03 Jul 2009 05:24:54 GMT

First the easy one. Mmoving after you win will not change your tax liability. It's possible that a few states don't cover the situation (though I doubt it), but you can expect that the tax laws have already covered that in two ways. Your tax obligation arises when you have constructive possession , which generally means when you become entitled to the money. Online games are easy. If you have the right numbers your ticket becomes a winner as soon as the drawing is held, and at that moment you be... [ More ]

Comment #4

Rocket 455 — Fri, 03 Jul 2009 04:38:06 GMT

If it doesn't hold legal mustard they'll make a retroactive law that makes it legal... lol... you know the score these days. Constitution? lol again...

You have the right idea... just close the wallet.

Comment #3

SpanaUnlimited — Fri, 03 Jul 2009 04:28:22 GMT

Obviously the government has the right to tax but IMHO this is going overboard.

However I am curious on the legality of the retroactive nature of this law. Does it really hold legal mustard? I had always thought ex post facto laws was unconstitutional in the United States. Article I Section 9 to be more specific. You can't punish folks for things that happen BEFORE the law was passed.

As I mentioned in the NH thread. If I were NJ citizens depending on their situation I would purchase ticke... [ More ]

Comment #2

Rocket 455 — Fri, 03 Jul 2009 04:22:16 GMT

I concur. It would be different if taxation bought the working stiffs some representation... Hide your gold.

They're better off taxing the tickets before they're sold, the Pompton Lakes resident said. Then it's like (the tax on) liquor. If you want to play the lottery, you pay the tax. Don't kill the winner.

Ummm... no. The lottery is basically a tax on the working class already... jebus man. When they start taxing your taxes things have truly taken a turn for the worse. Hey I've got an... [ More ]

Comment #1

Todd — Fri, 03 Jul 2009 03:41:52 GMT

I am utterly sickened by this.

N.J. Lottery goes from zero to highest tax rate in the USA

Lottery Post — Fri, 03 Jul 2009 03:40:42 GMT

Adding insult to injury, 11% taxes are retroactive back to Jan. 1

Local Mega Millions winner calls it Pathetic money grab , as feel-good story about workers' winning jackpot is transformed into an example of oppressive government that finds it easier to take from a few lucky winners than to stop wasteful government handouts and spending.

The limits of luck are becoming clear to Lynn Sellari, whose Cash 5 lottery ticket left her with a windfall of money in May.

Over the past few days, Se... [ More ]