Quote from: Clark05 on Today at 09:24:32 AM

The tax is very huge the money he still get is also a lot , well that is the protocol of the government about tax so they operate the gambling legal or having permt. Mega million jackpot is huge amount of money and I hope someday that I'll be the one who gonna win to the lottery even not billion Im contented to the millions because it a lot of money that can secure my future. In my country the highest winning in the history is 700 million and many people tried their luck to bet and to win of course, but only 2 get the exact number it was happened few years ago and they are now instant millionaire but I hope those people who are winning lottery will use it in good way because some of them are losing all money by buying and spending not important things.

The tax system for lottery winnings in the United States is just ridiculous. Lottery winnings are tax free in countries such as Australia and the European Union, because the lottery ticket sales are already taxed once. If they deduct taxes from the lottery winning as well, then it will amount to double taxation. But this logic is not applicable in the United States. They will tax both the lottery ticket sales and the winning amount.

And this is how it works:

Jackpot amount: $1 billion
Lump Sum amount: $739.6 million
Cash in hand, after federal income tax: $465.98 million
Cash in hand, after state income tax: $394.834 million for New York

So the jackpot winner is going to receive less than 40% of the claimed amount in his bank account after all the deductions.