IRS TAX TIP 2004-33 GAMBLING INCOME AND EXPENSES Hit a

IRS TAX TIP 2004-33 GAMBLING INCOME AND EXPENSES Hit a irs tax on lottery winnings Your local citytown may also require your lottery winnings to be taxed as income and this can result in another line of deduction from your irsh lottery How much are lottery winnings taxed ? Lottery winnings are subject to federal income tax at a rate of 24%, and some states may also impose their own tax on

irsh lottery Since the tax withholding rate on lottery winnings is only 24%, some lottery winners do not plan ahead, and can have trouble paying their taxes

irs lottery tax The top federal tax rate is 37% for income over $500,000 The first thing that happens when you turn in that winning ticket is that the federal Besides the time-value-of-money discount rate, a lump-sum payout also results in federal tax of 37% on every dollar over $539,900