If a dual (UK/USA) citizen wins the Euro Jackpot?

Reply #22

MamaWins — Wed, 07 Nov 2018 02:50:29 GMT

I have no problem paying taxes on the US lottery but paying on a foreign lottery that isn't taxed doesn't sit well. Add to the fact that if I won (any lottery) I'd not live in the US so yes I will denounce.

Theres a whole world out there ...

Reply #21

Stack47 — Tue, 06 Nov 2018 22:48:35 GMT

There are several articles about lottery officials questioning why some players have multiple wins and one of the reason they usually ignore is some winners sell their winning ticket to avoid the IRS. The choice you're talking about is selling the ticket or renouncing your U.S. citizenship.

You said there are no taxes on Euro Lottery winnings in the UK, but there are on U.S. lottery games. If you win a U.S. jackpot, you'll pay U.S. taxes regardless of your citizenship. As a U.S. citizen, why... [ More ]

Reply #20

Stack47 — Tue, 06 Nov 2018 22:29:42 GMT

Somebody who's only a UK citizen will only owe US income taxes if they earn the money in the US or live in the US when they earn it.

That's why I said dual citizenship is irrelevant. Someone with dual citizenship probably won a U.S. lottery, told the lottery people they had a citizenship in another country too, and the IRS withholding was changed to 30%.

The article is about people who apparently didn't know that they're US citizens.

The banks needed a Federal ID and contacted those... [ More ]

Reply #19

KY Floyd — Tue, 06 Nov 2018 08:04:58 GMT

It's not that simple.

It is if you can follow the context. Somebody who's only a UK citizen will only owe US income taxes if they earn the money in the US or live in the US when they earn it.

The article is about people who apparently didn't know that they're US citizens. That's the flip side of birthright citizenship. You may not use or be interested in the benefits of citizenship, but you still get the obligations. When the 14th amendment was written and ratified there was no income tax... [ More ]

Reply #18

MamaWins — Tue, 06 Nov 2018 00:42:06 GMT

Every time I read an article about frequent winners I wonder why it's so difficult for those people to understand they are buying tickets from winners that want to avoid IRS problems. Can't they see almost all of those prizes are under $100,000?

Not sure I follow your paragraph above

And Dual citizenship is very relevant if you are okay with renouncing usa citizenship.

Reply #17

Stack47 — Tue, 06 Nov 2018 00:19:52 GMT

I said having dual citizenship is irrelevant because the only citizenship relevant to the IRS on foreign lottery jackpots is a U.S. citizenship. Every time I read an article about frequent winners I wonder why it's so difficult for those people to understand they are buying tickets from winners that want to avoid IRS problems. Can't they see almost all of those prizes are under $100,000

Reply #16

Raven62 — Mon, 05 Nov 2018 14:26:58 GMT

I guess that answers the question: How can a person be equally loyal to two countries

Reply #15

MamaWins — Mon, 05 Nov 2018 10:58:52 GMT

Great article. Citizenship based taxation is a well known absurdity by Uncle sam to get you anywhere in the world. If I win any foreign lottery I'll

renounce. Move claim my winnings

in that order... I don't mind paying the taxes on winning here, but over there on a foreign lottery ... no way

Reply #14

Stack47 — Mon, 05 Nov 2018 03:00:41 GMT

A UK citizen could simply move out of the US and have no US income tax obligations on future income earned outside of the US.

It's not that simple. Read an article about the Fourteenth Amendment/Executive Order debate and saw a story about Accidental Americans living abroad . Apparently some of them are required to pay U.S. income tax even though they only lived in the U.S. as babies or were born in another country to American parents and never lived in the U.S.

Reply #13

KY Floyd — Sun, 04 Nov 2018 06:25:58 GMT

I don't see any relevance of having dual citizenship whether they buy the ticket in the UK or NY

The relevance is that being a citizen, a resident, or holding resident alien status may result in a tax bill. A UK citizen could simply move out of the US and have no US income tax obligations on future income earned outside of the US. A UK citizen who also holds US citizenship would have to move and renounce citizenship.

but since this topic is specifically about winning the Euro jackpot... [ More ]

Reply #12

Artist77 — Sat, 03 Nov 2018 14:22:53 GMT

It is not income until you claim it. Tax law 101

Reply #11

Stack47 — Sat, 03 Nov 2018 04:04:35 GMT

if you have triple citizenship

Like Ted Cruz?

it is considered income if I have not claimed the prize.

It's not income if you take the day off and don't get paid either. Seriously if you really want to know, call a CPA and ask them if money won or earned by a person with dual citizenship in a foreign country taxable income?

They'll probably ask if you have a U.S. residency which seems to be the answer to your question.

Reply #10

Stack47 — Sat, 03 Nov 2018 03:47:37 GMT

The income from the prize will still be US income, and state income. You'd still pay tax, but at the non-resident rate.

I don't see any relevance of having dual citizenship whether they buy the ticket in the UK or NY, but since this topic is specifically about winning the Euro jackpot , when did the IRS start taxing the Euro Lottery jackpot prize winners

Reply #9

MamaWins — Thu, 01 Nov 2018 12:28:10 GMT

UK definitely doesn't tax lottery winners.

my question was in relation to winning the euromillions and living here. With the point being If I've renounced it will not be u.s. income as I would no longer be a citizen. I'd have to wait to claim or have my father claim as a trust.

Reply #8

MamaWins — Thu, 01 Nov 2018 12:20:32 GMT

Not really a big deal if you have triple citizenship :-))

What I was wondering is if it is considered income if I have not claimed the prize. I believe another response said it becomes income once you claim.

Reply #7

KY Floyd — Thu, 01 Nov 2018 06:34:21 GMT

UK does not tax lottery winnings

I've seen something that said UK residents aren't taxed. It may have just been sloppy reporting, but there's a chance that a prize that's won while living overseas might be taxed.

The IRS considers lottery winnings taxable when you get the economic benefit of the prize. That doesn't happen until the lottery validates the ticket as a winner, and possibly even later than that, but even if you move to Mars it won't help. The income from the prize will still b... [ More ]

Reply #6

HAMMY WAMMY — Thu, 01 Nov 2018 02:30:05 GMT

I've always thought if I won a jackpot I would move to a state without state tax to keep a little bit more of my winnings . Renouncing citizenship seems like a pretty big deal... but if you think it's worth it to avoid the tax man you do what's best for you. Depending on how long you have to claim for a 2019 win I would suggest renouncing in 2019 get everything taken care of... Then claim prize in 2020.

Reply #5

Quanchill — Wed, 31 Oct 2018 19:51:57 GMT

claiming faming shaming after forward backward after renouncing? trouble bobble heads question presents; unclaimed ticket income in coming coming to an end. should income after claim... tricky leaf but stick can be broken. one assumes the ticket cometh from such plate... he must partake in following rule...where ticket was molded is the rule of the bog

Reply #4

MamaWins — Wed, 31 Oct 2018 17:30:58 GMT

Yes but claiming prize after renouncing might get one into trouble. The question is ... is an unclaimed ticket income? Or does it become income after it's been claimed? This matters because of exit tax.

Reply #3

Quanchill — Wed, 31 Oct 2018 03:34:21 GMT

UK does not tax lottery winnings, buckaroni.

ok ell do what you think is fit. dual citizenship, only slight problem when certain other nations/nationals have it. deal with the tax, man. would rip up a winning to ticket to avoid tax? tazmanian devil spinning loco from bushack beans to highend points. unreal

Reply #2

Rexer90 — Wed, 31 Oct 2018 03:24:46 GMT

Move home, renounce, claim prize. Other wise you'd pay US AND UK taxes on the prize (assuming UK taxes lottery winnings

Reply #1

SoleWinner21 — Tue, 30 Oct 2018 13:18:57 GMT

The US gov likes to tax the S# t of its citizens, and any worldwide income is taxable including lotto winnings. You can renounce your US citizenship if you chose to. I think they are trying to make it more difficult to give it up for that very reason. Or if you win UK lotto then maybe you can have someone else claim it who you trust.

If a dual (UK/USA) citizen wins the Euro Jackpot?

MamaWins — Tue, 30 Oct 2018 00:13:32 GMT

I'm wondering .... Currently in USA but wanting to return 'home'. Will the expectation be to pay USA tax or can one renounce citizenship and not claim winnings till later when settled in U.K.