How are Lottery Winnings Taxed?
How are Lottery Winnings Taxed?
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Lottery prize money is generated by ticket sales The more people that buy tickets — and the longer it goes before somebody wins the jackpot — An annuity is paid out over several years whereas a lump-sum payout is a one-time payment When a jackpot is won, each lottery participating in that particular
free poker machine games no downloads Lottery agencies are generally required to withhold 24% of all winnings over $5,000 for taxes If your winnings put you in a higher tax bracket, Lottery winnings are considered taxable income for both federal and state taxes · Federal tax rates vary based on your tax bracket, with rates up to 37%
