Discussion in 'The Howard Stern Show' started by Beth143nacho, Jan 10, 2016.
whatll it be?
I'll 2 nd. that 1.6.
You should start a poll predicting Wednesday's total amount of lottery-based threads on the main page.
staggering fucking shit that's what
The crazy part is the winner will only walk away with ~350 million.
Powerball Jackpot for Wed, Jan 13, 2016 $1,300,000,000
Annuity: 30 average annual payments of $43,333,333
- 25% Federal Tax- $10,833,333
Lump-sum cash: $806,000,000
- 25% Federal Tax- $201,500,000
BEFORE State Tax if applicable.
MANY States have NO Tax on Lottery Prizes!
Look at how how these idiots keep most of money EARLY on...
The Powerball annuity jackpot is awarded according to an increasing rate schedule, which increases the amount of the annuity payment every year. The table below shows the payout schedule for a jackpot of $1,300,000,000 would be for a resident of Arizona, including taxes withheld.
Please note, the amounts shown are very close approximations to the amount a jackpot annuity winner would receive from the lottery every year. They are not intended to specify the final tax burden, which may vary depending on how the winner chooses to invest or dispense their prize money. (For example, if the winner gave all their fortune to charity, they may actually end up getting money back that was initially withheld, whereas someone who buys a new mansion and a fleet of new cars would probably end up owing more taxes than shown.)
I think those tax rates are wrong but I defer to someone with a better knowledge of rates than me
Here is the Disclaimer from page (i especially like # 9):
The jackpot numbers are estimates rounded to the nearest million dollars.
All of the tax amounts listed above are the taxes withheld at the time of the prize award, not your exact final tax burden. Since every individual winner's situation differs, and every winner chooses to dispense their winnings in a different manner, there is no way for us to determine what your final tax burden will be. For example, someone who gives away a large amount to charities would have a vastly different tax burden than someone who buys new cars and houses. The chart above provides the information that we know for sure: the money that you will initially receive from the lottery.
We are fully aware that the tax rates listed for some states on this page are different than the states' current income and sales tax rates. The state tax rate withheld by the lottery at the time the prize is awarded is oftentimes different than what you would expect to be withheld ("standard" state tax rates). Because of the reason discussed in Note #2, states often try to keep from withholding too much, because they know that many lottery winners do not end up paying a flat (insert highest tax rate here) percent of their winnings in taxes. There are many ways to reduce the tax burden, which is why it is so important to obtain the services of a top-notch professional accountant before claiming the big prize.
The jurisdiction in which you live may impose additional local taxes, beyond those listed here. Please verify all information with your local government tax agency.
State lotteries typically deduct other amounts from prize payments, such as child support payments, back taxes owed, outstanding student loans, and other government agency responsibilities.
If you are not a U.S. resident, you will typically have a flat 30% federal withholding, and state taxes may differ from what is listed above. Consult with your local government tax authority for more information if you are not a U.S. resident. The 30% flat withholding is a dictate by the Internal Revenue Service, in conjunction with the Federal Government, not something created by the state lottery. Therefore, questions about the purpose of the withholding should be directed to the IRS (1-800-424-1040).
The states modify their tax withholding rates from time to time, and this chart is accurate as to our latest information we could track down. It is possible that the tax rate provided above is outdated, although we try not to let that happen. If you are aware of a percentage being out of date, please contact us to let us know, and we will update it. Please only contact us about lottery withholding rates, not the state income tax or sales tax rate. See Note #3 for more information.
If you are viewing the Jackpot Analysis for a past drawing date, keep in mind you are viewing the application of the current tax rates against past jackpot amounts. If the tax rates for a state have changed since that drawing date, the report is not an accurate snapshot of the taxes that would have been withheld on that date in history. Instead, you are looking at the taxes that would be withheld if the jackpot were won today. However, if a state's tax withholding rate has not changed, the report is an accurate snapshot of that date in history.
If you win the jackpot, consult a good accountant and tax attorney for ways to minimize your tax liability. Consider donating a substantial amount to the owner of this Web site, because he gave you such great advice when you needed it most.
† New York imposes additional withholding if you live in one of the following jurisdictions: New York City (3.876%) and Yonkers (1.323%).