I have trouble understaind 'trust'!

Reply #6

guesser — Thu, 30 Apr 2009 05:48:29 GMT

Under 'Resources', click on 'search for something'

You will find HUNDREDS of other people asking and getting answers to the SAME QUESTION.

No matter how you slice up the jackpot, taxes will take about 55% of it.

The Fed taxes it before you ever get it, and then you get taxed again after you divvy it out.

No way around it.

Reply #5

ambelamba — Thu, 30 Apr 2009 05:33:45 GMT

Well, the thing is that I want to give percentages of my winning to my family members with minimal tax concerns. (not a tax evasion.) But I want to put 80% of the winning amount to conservative investments, such as money market, government bond, and a whole bunch of office and market buildings.

Reply #4

pigsNtrees — Wed, 29 Apr 2009 18:44:24 GMT

One of the things that confuses me, is here in Texas they require that one person must claim the prize. I also know that we have had groups that have won. So here's the part I don't understand. If you share with a group, are taxes taken out before it is divided (one person must claim the prize) then taken out again for the individuals in the group? Because if so, that is a lot of taxation.

Reply #3

BaristaExpress — Wed, 29 Apr 2009 18:19:51 GMT

The best state to incorporate in is Nevada! No corporate state tax, no individual state income tax! But do it in Douglas county (Lake Tahoe) they don't require you to have a business license for the business you incorporate in Douglas county! Most business licenses require you to list the share holders names of the corporation and when you do that you now have exposed yourself and the others to being sued if someone wishes to do so! Nevada has the toughest corporate Vail for protection for the o... [ More ]

Reply #2

time*treat — Wed, 29 Apr 2009 17:52:32 GMT

Thing is, trusts and corporations have enough state specific rules to fill a book. A corporation HQ'd in Delaware has different rules it has to follow than one in Cali. That's why some states are more popular than others, for incorporating in.

Fortunately, you live in a state with a high number of wealthy people. That means there are plenty of people around you who, by profession, know about trusts, etc. and their protections limitations specific to CA.

Reply #1

grandpajohn — Wed, 29 Apr 2009 04:55:41 GMT

Yes you can claim as a corp if you lot of group of people who play together do this. I do beleive Ca does allow this because I think I read some where a group of teachers did this.

If you designate family members as co-beneficiaries they will also pay taxes as you will and yes you can sprit the money.

I do beleave most in most states you have to spite even.

I have trouble understaind 'trust'!

ambelamba — Wed, 29 Apr 2009 04:45:59 GMT

I am a college-educated man and still have trouble understanding the concept of trust, especially when it's related to claiming a prize.

So you can go virtually anonymous. But can someone claim the prize as a corporation also? Some states allow that. I am not sure about CA.

What will happen if I designate my family members as co-beneficiaries? I became curious about this because someone mentioned that there is no percentage share in most state lotteries.