Charity & taxes

Reply #12

Drenick1 — Thu, 08 Jan 2015 19:32:02 GMT

I have read past post here and received advice from an LP member and she suggested any major jackpot winner form a charitable trust/foundation as well as a corporation to oversee future financial growth while deferring tax obligations. There were major advantages with this format but too much to list.

Reply #11

OldSchoolPa — Thu, 08 Jan 2015 10:59:14 GMT

Also the Foreign Accounts Tax Compliance Act (FATCA) signed into law by Obama will be something every ex-pat or citizen holding funds in foreign financial institutions will have to deal with. FATCA is the reason a record number of American citizens, including U.S. born citizens, renounced their U.S. citizenship in 2013 (the numbers for 2014 are not yet published).

Reply #10

PrinceRene — Wed, 07 Jan 2015 17:36:47 GMT

If you are an American citizen keeping your money in the Cayman Islands makes no difference. American citizens are taxed on world wide income.

Reply #9

SergeM — Tue, 23 Dec 2014 09:51:37 GMT

Locally 6% of your lotto ticket were going to the retailer who still has to pay taxes on that. Other costs are the organisation like printing tickets and spreading them, keeping the online system alive and so on. The drawing costs money too. Costs that I don't like are publicity and false information like not publishing the amount of sold tickets expressed in an amount of money. Strangely I don't like much publicity about lotto, even if I play myself. Showing the winners is one thing, forgetting... [ More ]

Reply #8

mikeintexas — Tue, 23 Dec 2014 04:09:36 GMT

I used to think you could give any amount to a recognized charity (and take the deduction), but the IRS says differently: Charitable Contribution Deductions

I expect most everyone has read about the poor record many so-called reputable charities have, namely that a large percentage of the donations they get go to executive salaries, office rent, misc. overhead, etc.

America's Top 50 charities: How well do they rate?

America s 50 Worst Charities Exposed

I've never been fortunate en... [ More ]

Reply #7

music* — Tue, 23 Dec 2014 03:31:55 GMT

PrinceRene, In a perfect world I would do the ceremony. Alas, there are too many scammers in this society. I will not do the award ceremony.

Not only charities but also businesses that are on the Stock Market. You could be accused of pumping up one stock then dumping it after it went up in value.

The Lottery office employees might write a record of what you say to them and then release it. Maybe

Reply #6

music* — Tue, 23 Dec 2014 03:26:34 GMT

Thank You SergeM for the heads up on the Cayman Islands. I did look at the Finance part.

Reply #5

Coin Toss — Tue, 23 Dec 2014 02:54:37 GMT

One of the Australian members here said that in Australia a ticket is $1.03 AUSD, the $.03 prepays the taxes for the winner.

The also have a NP option on their play slips, No Publicity.

Sounds good to me.

Reply #4

PrinceRene — Tue, 23 Dec 2014 01:27:10 GMT

that is why I would avoid the winner's award ceremony like the plague. In CA the winner's name is public information but they can't make he/she go to a press conference.

If it was mandatory, I'd give short one word answers and then leave as soon as I could. If you tell the media the charities you like that is a mistake. Now all the scammers will know which buttons to push when they make up some hard luck story to get money from you.

Reply #3

SergeM — Sun, 21 Dec 2014 20:42:52 GMT

http://en.wikipedia.org/wiki/Cayman_Islands

...

Reply #2

music* — Sun, 21 Dec 2014 20:35:54 GMT

Yes SergeM, Like the song about the taxman, His hands are on every transaction. The devil is in the details.

Reply #1

SergeM — Sun, 21 Dec 2014 20:22:51 GMT

Games can be pre-taxed, you buy with taxed money anyway. How much of 100 dollars paid for lottery tickets is going back to the honest player? The true count

Charity & taxes

music* — Sun, 21 Dec 2014 19:41:07 GMT

Merry Christmas everybody !! I know that this season might not be appropriate for these thoughts. But, I am interested in your opinions. You know that the subject of Charity comes up at winner's award ceremonies. My response would be , Look at all the taxes I have already paid and will pay . This is Social Responsibility .

so, depending upon the size of the jackpot I will already have favorite charities to give to. Family first.

California does not tax lottery winnings so that is 13% tha... [ More ]