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Answered 2008-06-05 03:38:48
Winnings on Game Shows, or anyplace (Lotteries and Casinos come to mind quickly), as is any form of income, including the finding of a "hord', are taxable. The givor must provide a 1099 report tot the IRS of the value of what was given or won, (above certain minor exclusions). Just like when Oprah gave away a car to each in her audience, each of whom had to include the value of the car as income and pay tax. You may recall she then agreed to pay the tax for them. What she paid for them is also taxable. (The calculation that is done to determine how much she needed to give them is called a "gross up". Where a determination is made of how much the amount provided actually has to be to basically cover all the rather circular naure of what is happening. So if a 20% rate is considered the recepients tax rat for the $100 given, you don't just give $120 but more like $124.44. The recepient ends up with the $100 net). I would also refer to the first Survivior winner, who failed to pay, even claiming the show promised to, and is now in jail for several years for having done so. How much is withheld and how much the recepient finally pays can, and usually does, vary. A recepient may be able to have nothing withheld by qualifying and providing a Form W-9 statement. Mandatory withholding, done by the givor is usually at 20%, under the recepients ID number and shown on a 1099 sent to the recepient. The amount withheld is then considered paid toward any tax the recepient would owe from all sources that year, which may be more or less than the amount actually withheld depending on many things - number and amounts of deductions, amounts of other income, etc. It is basically their own tax rate. Even if withholding wasn't done, the recepient would have to make a quarterly estimated payment, just like anyone who has income that isn't shown on a Form W-2 (where the withholding is done automatically by the employer), or be subject to penalties and interest.
Anonymous
Answered 2020-09-30 16:26:14
How much taxes is taken from the winning s
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Related Questions
what is the tax on lottery winnings?
what is the tax on lottery winnings
How much tax are taken out of lotto winnings?
The amount can be 25%, 28% and even up to 30% for amounts that are paid to a foreign person.
How much taxes do you have to pay on your ca lottery winnings?
California does not tax have a state income tax on lottery winnings. The federal withholding rate amount is 25 % to be withheld from the winnings amount.
How much in taxes do you pay on 2400 gambling winnings?
There is not certain tax rate on gambling winnings so it will depend on what your taxable income is to determine the tax on winnings. It is ordinary income just like your employment income.
How much tax do you have to pay on gambling winnings?
This will depend upon how much you win and what your personal effective tax rate is.
How much tax is taken out for the Texas lottery?
If you have any kind of gambling winnings the payer may have to withhold income tax at a flat 28% rate. When you complete your federal income tax return correctly and your lottery winnings is large enough you your marginal tax rate maximum amount at this time for the 2009 and 2010 tax year was and is 35% maximum marginal tax rate for an individual taxpayer.
Tax refund on winnings in casino?
There is income taxes due on winnings at a casino. The only way you could get a refund on such winnings is that taxes are withheld from your winnings that exceeded your tax liability.
How is tax calculated on lottery winnings?
In the UK there is no tax to pay on lottery winnings, although the govenment do take tax before the prize fund before any winnings are paid.
How much taxes are taken out for 30000 in lottery winnings?
You will ultimately pay tax on it just like any other income...although gambling losses are deductible against gambling winnings. That amount depends on your own personal circumstances.
How much state tax is taken out of lottery winnings for IL?
It use to be 3% and is currently 5% for State and 25% For federal on amounts won of $5000.00 or over.
How much tax do they take from lottery winnings?
Backup withholding is 28 percent.
What is the tax on 750.00 lottery winnings?
In the UK there is no tax on lottery winnings, if you win £750.00 you get to spend all of it.
Do you get a tax refund on lottery winnings?
If you can prove losses equal or close to winnings then yes.
What states tax lottery winnings?
All of them.
How are lottery winnings taxed?
they tax the sh*t out of it!
How much tax is paid on NJ lottery winnings?
nearly fifty percent it is around forty-something percent
How much in taxes is owed on a 1 thousand prize in Texas?
How much tax is owed on a 1,000 US dollars prize in Texas depends on your tax bracket. You must include details of your winnings when you file your federal tax return.
Do players pay tax on winnings at High Stakes Poker?
Yes all gambling winnings are reported on the 1040 tax form and added to all other gross worldwide income and taxed at your marginal tax rate.
Do you pay taxes in Washington State on lottery winnings?
Washington State does not have a personal income tax, so you will not pay any state income tax. You will still pay Federal income tax on lottery winnings, though.
How much tax is taken from 7M?
about 40%...?
How much tax is collected from 1000.00 winning lottery in MA?
MA state tax will be witheld on all winnings from $600-$4999. Ma state tax + 25% federal is withheld on 5k and above.
How much tax will be taken out of a paycheck of 10000 dollars?
I won a lottery ticket in Wisconsin, worth $10,000, how much federal and state tax will be taken out?
What is the percent taxed on lottery winnings in pa?
There are no state or local taxes on lottery winnings in Pennsylvania. There is however a federal tax of 25 percent of the winnings for any prizes that are over $5,000.
Why do you have to pay tax on casino winnings when you are likely going to put it all back into the casino and then some?
It's considered a source of income and therefore taxable. The person choosing to continue gambling with that income and perhaps losing it, is not relevent as far as the IRS is concerned. Moreover, your getting ahead of yourself in the accounting....if you sit and the table and lose....you don't have to have any tax withheld as you won't pay any. And if you win one day, and lose the next, the amount of the loss IS able to be taken against the income from the winnings...so you don't pay tax only on winnings...but NET winnings.
How much are you taxed from winnings at the casino?
It depends on where the casino is. Most of the casinos in the U.S. deduct a state tax on slot payouts above a certain amount, then also, you are supposed to claim winnings as income when you file your income tax each year. You can, however, deduct losses up to the amount of your winnings. You can contact Refund Management Services to get your casino tax back. They will always help you to recover portion of your gaming tax back. I have used their refund services in past that's why I am recommending them.
