So you have the winning ticket, now what?

Reply #23

AuntiePat — Wed, 15 Aug 2007 18:19:47 GMT

Somehow I missed this respponse--for all my talk about post tax figures, Trust Departments--it all comes down to what you stated--

or to rephrase in one of the Dead languages I studied in college 40 yrs ago:

Righteous, Dude

Reply #22

time*treat — Wed, 15 Aug 2007 16:38:28 GMT

It's highly unlikely that you will have major wins on each of those days. Prizes too big to be paid at the retailer are the ones that get the extra scrutiny.

If you are a serious enough player to do that much buying (and winning) and traveling, you would be tracking your buys, locations, and P L, for tax purposes anyway.

Reply #21

time*treat — Wed, 15 Aug 2007 16:29:24 GMT

Of course, the answer is it depends .

If CT NY have a reciprocal agreement , you would get a credit towards your NY tax return of the 5% you paid in Connecticut, because NY has higher rates.

Otherwise you'd pay both, if NY taxes its residents on all income regardless of where earned.

In either case, you wind up filing two state income tax returns. The same as if you worked in one state and lived in another.

Reply #20

RJOh — Wed, 15 Aug 2007 04:43:14 GMT

When I was traveling through your state last summer on Rt23, I saw several stores with signs that read Only cash winning lottery tickets bought here . So I would think you would be use to keeping track of where you bought your tickets.

Reply #19

guesser — Wed, 15 Aug 2007 03:47:33 GMT

No, the folks at HQ will tell you where and when the ticket was purchased (if you bring it to them), if it was a QP or not, and how many other games are on that ticket.

And, if you call them on the phone and say you have the winning ticket, if you can't tell them where or when you got it, they will not believe you. Reason being every drawing brings out about 20 people that call saying they have the winning ticket, when they don't.

You should have a list of where you bought your tickets so... [ More ]

Reply #18

hypersoniq — Wed, 15 Aug 2007 03:37:58 GMT

Can't say for sure, but I believe you would owe taxes in both states.

The way it works in PA, IF you are a PA resident and win here you are exempt from all state AND local taxes. Which is why I would take the lump sum and then move ;-)

Definitely hire a Tax Attorney if you win across state lines...

I hope one day we ALL get the chanceto find out first hand

Reply #17

tnlotto1 — Mon, 13 Aug 2007 17:20:41 GMT

i know what you mean tiggs because when i first heard that the lottery asks you where you bought your ticket and that is how they have discovered some scammers and thieves because they couldnt answer where they bought the ticket or how many tickets they bought at that time, i started to write on my ticket where i bought it but after losing for so long i would forget to do it overtime so now i would just wait to claim my ticket and check the news so maybe they will announce where the ticket was p... [ More ]

Reply #16

tiggs95 — Mon, 13 Aug 2007 17:00:21 GMT

You mean to tell me if I buy 32 tickets at one store on Sunday 22 tickets on monday 3 tickets on weds and 7 more tickets on weds and all from different stores and different citie's I'm suposed to rememebr what store and at what time I bougt them all??..Stupid........

Reply #15

MissNYC — Mon, 13 Aug 2007 13:39:19 GMT

Another great answer! And the CDARS program is good to know in general. I wonder what happens if, lets say, I drive to CT to play the Powerball (I'm from NY). Do I pay CT taxes or NY taxes? I hope not both

Reply #14

hypersoniq — Sun, 12 Aug 2007 17:15:33 GMT

This is from my research about playing the powerball in Pennsylvania and also being a Pennsylvania resident...

(also not an attorney ;-) )

you win

A) SIGN the ticket.

B) On the PA Lottery website,they list a phone number that you can call and ask what you need to do next. They WILL release your name/hometown/amount won/where you bought it... you CAN however refuse photos and the press conference/cardboard check ceremony.

C) Check to see if your bank participates in CDARS, this w... [ More ]

Reply #13

AuntiePat — Sun, 12 Aug 2007 14:23:41 GMT

If you google Distribution of Lottery Winnings or something similar to that (the day I was doing this I was killiing time before leaving to go to the doc's and my mind was elsewhere so it might have been some search parameter similar but not identical to the one I stated), you will come across a copy of a form for multiple winners from the Minnesota Lottery Commission indicating on that form that you can state the percentage of the winnings to which you are entitled. This form does not indicate... [ More ]

Reply #12

pacattack05 — Tue, 07 Aug 2007 23:09:14 GMT

First the disclaimer...I'm not an attorney.

You had me fooled !...lol

Reply #11

MissNYC — Tue, 07 Aug 2007 23:00:41 GMT

Wow what a great answer

Reply #10

tnlotto1 — Tue, 07 Aug 2007 20:57:51 GMT

great explanation

Reply #9

KY Floyd — Tue, 07 Aug 2007 20:03:56 GMT

Lotteries don't collect jackpots, they pay them. If you go back to your other post about it you'll see that your question has been answered.

Uncle Jim did a really good job of explaining most of the typical process.

You can currently give up to $12,000 *per year* to each recipient without triggering the gift tax, with some cumulative lifetime limit. I believe that limit is still $1 million, though the estate tax exemption has been bumped up. Some gifts aren't subject to the exemption l... [ More ]

Reply #8

Uncle Jim — Tue, 07 Aug 2007 15:59:19 GMT

First the disclaimer...I'm not an attorney. You would be well advised to consult one instead of taking what I have to say as gospel.

Second...I live in Indiana so the information I present is relevant to citizens of Indiana and out of state residents who win money on the Hoosier Lottery. It may or may not be applicable to your state.

Here's what my research has uncovered:

1. When you go to Lottery Headquarters with your winning ticket to claim your prize there will be a validation pro... [ More ]

Reply #7

MissNYC — Tue, 07 Aug 2007 14:05:02 GMT

And I think Powerball collects more of the jackpot because it always seems like you take home more money with the megamillions. I'm not sure why though.

Reply #6

MIlottoplayer — Mon, 06 Aug 2007 23:02:25 GMT

I'd be in shock wondering how the heck did I win??? Also I'd love to see my bank account will all those zeroes...not to mention that stupidly big funny looking check.

Reply #5

DoubleDown — Mon, 06 Aug 2007 22:35:02 GMT

So you have the winning ticket, now what ?

I will party until I

Reply #4

AuntiePat — Mon, 06 Aug 2007 22:24:12 GMT

The irony, I suppose, is that each dollar put into the Jackpot already represented an after tax dollar of income for whomever purchased that ticket. But the only way they could get the states to buy into the multistate lotteries was to give 'em money on the frontend and the back--they share in the lotteries' revenues and they get to tax the winners--although I'm thinking that one or two states do not tax lottery winnings, or is it just winnings on the big banana?

As I've stated somewhere e... [ More ]

Reply #3

stavros — Mon, 06 Aug 2007 21:58:49 GMT

Reply #2

Stack47 — Mon, 06 Aug 2007 21:53:27 GMT

And what if you are from NY, but play Megamillions in Jersey....do you pay NJ lottery taxes (which is nothing) or NY lottery taxes.

That's a good question because it's possible you could be taxed in both states if both they had state income taxes.

And what if you want to give a smaller lump sum to someone...is that done before or after taxes, and is that money taxed once it is given to the person again?

That depends on state lottery codes; in Ohio a group of people can equally split... [ More ]

Reply #1

pacattack05 — Mon, 06 Aug 2007 21:36:04 GMT

I think it takes about 2 weeks to get the check after the paperwork.

Once you get paid, after taxes, I think you can give whatever amount as a gift to a relative, and it wouldn't be taxed, but I'm not sure....maybe there's a gift tax.

TAX TAX TAX TAX TAX!!!!!!

Somebody once told me that solar power is really much cheaper than we've been told. It's not expensive because of manufacturing costs , but because the government is making it expensive until they figure out how they can tax sunli... [ More ]

So you have the winning ticket, now what?

MissNYC — Mon, 06 Aug 2007 21:10:02 GMT

I've always wondered, let's say you walk into lotto headquarters with a winning ticket, what exactly happens? I'm assuming you fill out a bunch of paperwork, but then what, do they just cut you a check? Do they allocate it into different accounts for you if you wish?

And what if you are from NY, but play Megamillions in Jersey....do you pay NJ lottery taxes (which is nothing) or NY lottery taxes. And what if you want to give a smaller lump sum to someone...is that done before or after taxes,... [ More ]