How are Lottery Winnings Taxed?

income tax if the prize payment is includable in your federal adjusted gross income for the tax year If you are a resident of New York City or Yonkers, the

Lottery winnings are taxed by the federal government and by many state governments, but there may be steps you can take to avoid them

federal lottery tax On prizes over $5,000, the Oregon Lottery withholds at least 24% for federal taxes and 8% for state taxes before paying the winner Oregon's

federal lottery taxes First, any prizes above $5,000 will be hit at least with a 24% federal tax, regardless of which state you are in The winner may owe additional