Claiming a Ticket...

Reply #5

PrisonerSix — Sat, 30 May 2015 21:14:15 GMT

Every state has its own rules. In Louisiana, they will only issue one check, but what they will do is allow the winner to complete a form IRS 5754, which will designate how much each winner gets and how much tax will be withheld on each winner, and the lottery will issue a W-2-G for each winner. The person collecting the check is responsible for distributing the prize money for each winner.

Reply #4

kreative1 — Sat, 30 May 2015 17:55:03 GMT

In Pa, the claim form has a box for single winner or group winners to be checked and then the info filled in.

I wondered the same thing and asked where I buy tickets at..I don't play in a group but know some do

Reply #3

KY Floyd — Sat, 30 May 2015 15:47:08 GMT

You ll need to provide the names, addresses, social security numbers, and the gross amount to be distributed to each person.

That's the important part. If the lottery only has one person's name they'll withhold 25% federal taxes in that person's name. The only way to have the taxes credited to multiple people is to give the lottery everybody's name or create some kind of legal entity to collect a single check.

In theory a single person could collect the prize and distribute shares to ever... [ More ]

Reply #2

Mwatcher — Sat, 30 May 2015 09:52:07 GMT

The Colorado Lottery has this for the question on what is the best way to share a prize.

Your bank, attorney or certified financial advisor can give you advice about this option. You can choose to share the tax liability of the prize by having all prize winners complete IRS tax form 5754 that will dictate how to share the liability for certain gambling winnings. If you decide to do this, one person is designated as the prize recipient, signs the winning ticket, and distributes the money... [ More ]

Reply #1

mypiemaster — Sat, 30 May 2015 09:49:53 GMT

That depends on what State you live in and their rules. Some states will issue only one check to a group and some will issue multiple checks within reason to a group. With all that money, your group needs to find the best atty/acct/financial planner to worry about such trivial matters, while you bask in the sunshine of your windfall. That way you make sure that the IRS does not become your group's best uncle, that never goes away.

Claiming a Ticket...

chopperman8238 — Sat, 30 May 2015 09:01:30 GMT

If a lotto group has no Trust, how would 1 designated person claiming the ticket disseminate funds to the members in a group play? Would the 1 person be responsible for the entire different state taxes of that group.