Do you have to pay tax on a lottery win?

Reply #14

myturn — Sun, 03 May 2015 03:00:17 GMT

All cash prizes won in Ireland's National Lottery games are paid as tax-free lump sums.

All prizes must be claimed within 90 days of the applicable drawing dates and winners have the right to remain anonymous.

Reply #13

savagegoose — Wed, 29 Apr 2015 08:24:06 GMT

I fear if they decided to tax winners here , the gov would also keep the up front taxes to.

Reply #12

Saylorgirl — Tue, 28 Apr 2015 14:35:25 GMT

I hate that idea! I do not want to pay taxes on every ticket I purchase so the winner can take it all. If you are lucky enough to win the prize then you can pay the taxes on it. I am already giving you my donated dollars to your winnings. If I win I will be happy to pay my taxes and would not expect anyone else to pay them for me.

Reply #11

savagegoose — Tue, 28 Apr 2015 14:02:00 GMT

i think the %1 pay their taxes voluntary.

Reply #10

mypiemaster — Tue, 28 Apr 2015 12:09:36 GMT

Some people will claim that they don't mind paying taxes, because they think the I.R.S. is lurking , or that they will never win a jackpot. Then, out of nowhere, they win the jackpot and they start hating on the I.R.S. Nobody likes to give away their money to an uncle they don't even know out of the goodness of their heart. That's why that stuff{tax} is mandatory. What percentage of the population do you think will pay their taxes if it is voluntary?.

Reply #9

savagegoose — Tue, 28 Apr 2015 10:41:18 GMT

thanks MYTURN for the info on IHT, we dont have IHT here in Australia either. but yea we get taxed at purchase time. so the tax man doesnt have to wait till there is a winner to get his cut. the only time gifts are considered by the gov here is if they are given from a person who is a recipient of a gov pension or welfare. then their benefit would be reduced if the gift is too high. but ahh winning lotto should see you lose any pension or welfare benefit anyhow. if only you could be so lucky

Reply #8

BobP — Mon, 27 Apr 2015 12:17:37 GMT

Most places where the lottery prizes are tax free are because the tax is in the ticket price, all players paid the tax in advance for the winners. Too bad the U.S. isn't that advanced.

BobP

How deep is the water if you can't see the bottom

Reply #7

myturn — Mon, 27 Apr 2015 07:40:07 GMT

Are my winnings tax free?

National Lottery prizes are not chargeable gains for the purposes of UK Capital Gains Tax and will not normally be assessed for UK Income Tax. If a prize is won and shared by a syndicate who entered into a written agreement before the win, then syndicate members should not be liable to pay UK inheritance tax. However, please note that Her Majesty's Revenue and Customs law and practice may change. The above comments are based on our understanding of HM Revenue and Cus... [ More ]

Reply #6

cbr$ — Mon, 27 Apr 2015 04:52:43 GMT

In the U.S, yes you pay tax, first if the state that you winning in has tax on lottery win. They take their taxes out before they check for it. Then you get a W- 2G , taxes form, one copy go to your Federal tax, one to state taxes.....etc. There are just some small different. Ex; the lady that just win the PB. that live in ALA. [which is a none lottery state] , The state she win in will get the taxes, here she can only be hit with just federal taxes. All the taxes that state was entitle to was t... [ More ]

Reply #5

Stack47 — Mon, 27 Apr 2015 03:05:28 GMT

I doubt that Myturn is speaking from the experience of winning a jackpot in another country. But seriously, would you move to another country just because there is no tax on lottery winnings

Reply #4

Stack47 — Mon, 27 Apr 2015 02:58:32 GMT

I've had my share of W-2G from lotteries, casinos, and race tracks; I didn't like it, but that's the law. I still fail to see the logic of moving to country with no taxes on jackpot winnings when the 99% of the players will never win a jackpot.

Reply #3

noise-gate — Mon, 27 Apr 2015 02:38:13 GMT

There are some States in the USA that do not tax lottery winnings- BUT there is NO WAY to avoid paying Uncle Sam or the US treasury taxes on lottery winnings above $599.00 . There are however some shady convenience store owners who may cash scratcher tickets for under a grand or larger, but if found out, could be fined or sentenced to jail.

**Death Taxes are the two things that are unavoidable in these United States.

Reply #2

eddessaknight — Mon, 27 Apr 2015 02:19:43 GMT

That makes solid good sense Stack

Let go and render to Caesar his tribute

Fortes Foeruna Juvat

Eddessa_Knight

Reply #1

Stack47 — Mon, 27 Apr 2015 01:58:11 GMT

My guess is the majority of LP members don't fly to the UK, Europe or Australia to buy lottery tickets and never won enough in the US to get a W-2G. Is there really a benefit of not paying taxes for players who never win enough to pay tax on the winnings

Do you have to pay tax on a lottery win?

myturn — Mon, 27 Apr 2015 00:33:12 GMT

Do you have to pay tax on a lottery win?

Her Majesty's Revenue Customs doesn't regard lottery winnings as income, so all prizes are tax-free hurray! However, there could be tax implications once you've banked your winnings.

The cash will form part of your estate and be liable for 40% inheritance tax (IHT) if it takes the value of your estate above the current threshold of 325,000.

Gifting millions will not save you from paying IHT either: HMRC will tax you on a sliding IH... [ More ]