mega millions winner

Reply #13

Todd — Sun, 04 Jan 2004 02:03:02 GMT

Don't forget about deducting all the charitable contributions that you're going to make

Reply #12

hypersoniq — Sat, 03 Jan 2004 21:46:52 GMT

Quote: Originally posted by dvdiva on January 03, 2004 nope you could deduct any expenses for the year(s) you collect your prize - if you are paid on an annuity you could deduct trips to vegas or trips to various states to buy lottery tickets and/or gamble. yes it is deductable. but i would hire a pro since they could tell you the best stratagies. dont confuse the current 35% with the atm. and no - there would be no self-employment tax since no business licence is held. good points... never tho... [ More ]

Reply #11

dvdiva — Sat, 03 Jan 2004 21:41:36 GMT

nope you could deduct any expenses for the year(s) you collect your prize - if you are paid on an annuity you could deduct trips to vegas or trips to various states to buy lottery tickets and/or gamble. yes it is deductable. but i would hire a pro since they could tell you the best stratagies. dont confuse the current 35% with the atm. and no - there would be no self-employment tax since no business licence is held.

Reply #10

hypersoniq — Sat, 03 Jan 2004 20:39:18 GMT

Quote: Originally posted by joeybabe25 on January 03, 2004 Hi visiondude,Thanks for the straightforward response. I found it, and it pretty much cleared up my questions.But....I'm still not clear if someone would have to pay SS tax (or self employment tax) on lottery winnings.I have had certain years where my SS tax (I was self employed) was higher than my income tax. Thanks, joeno, you just pay the flat tax... even if you are a professional gambler. The government will take 35% of the jackpot r... [ More ]

Reply #9

joeybabe25 — Sat, 03 Jan 2004 19:36:04 GMT

Hi visiondude,Thanks for the straightforward response. I found it, and it pretty much cleared up my questions.But....I'm still not clear if someone would have to pay SS tax (or self employment tax) on lottery winnings.I have had certain years where my SS tax (I was self employed) was higher than my income tax. Thanks, joe

Reply #8

visiondude — Sat, 03 Jan 2004 17:38:23 GMT

joey, there is a place on the left side of the menu called big game news . click on that. scroll down on the left side of the big-game home page until you find jackpot analysis . click on that. it will take you to a page that will give you the exact breakdown after taxes for either annuity or lump sum. scroll down until you find the state that you play in for the after tax payouts. as for personal/business/tax considerations, no one here can possibly give you that info because we are not... [ More ]

Reply #7

goose — Sat, 03 Jan 2004 10:41:42 GMT

I am thinking about when could LP makes a winner?so that we could all benefit~~~just 6 numbers,no big dealgoose

Reply #6

joeybabe25 — Sat, 03 Jan 2004 04:51:48 GMT

Gee...thanks for your concern! How about an answer from someone less concerned with my welfare? joe

Reply #5

RJOh — Fri, 02 Jan 2004 19:06:23 GMT

Quote: Originally posted by joeybabe25 on January 02, 2004 But is there a self-employment tax....... You don't have to be concerned unless you are a winner and self-employed. If you are the winner then you can afford the services of some one who knows.RJOh

Reply #4

joeybabe25 — Fri, 02 Jan 2004 14:07:56 GMT

Quote: Originally posted by CASH Only on January 02, 2004 There is NO Social Security withholding on lottery wins.

Reply #3

joeybabe25 — Fri, 02 Jan 2004 14:07:44 GMT

Quote: Originally posted by CASH Only on January 02, 2004 There is NO Social Security withholding on lottery wins.No Withholding. But is there a self-employment tax, which is in effect when, you are for example, self employed, no SS tax is withheld from your paycheck, no employer to pay half of the SS tax and you need to file this for yourself. essentially, even though it is not withheld, is there a self employment tax due at any point

Reply #2

CASH Only — Fri, 02 Jan 2004 13:22:17 GMT

There is NO Social Security withholding on lottery wins.

Reply #1

Todd — Thu, 01 Jan 2004 19:02:46 GMT

This topic (taxes) has been discussed before - try the Search feature.

mega millions winner

joeybabe25 — Thu, 01 Jan 2004 18:43:39 GMT

Hi and Happy New Year to everyone.The news reports on the winning ticket from Tuesday night's Mega-Million game says that the person will take the cash option which according to CNN is about 91 million before taxes (surprised it was that much...I thought it was closer to half the annuity when you took the cash) and then about 67 million after taxes.Is that accurate? If the winner takes the cash, at 91 million and the has to pay taxes, wouldn't federal income, social security taxes (both sides...... [ More ]