Wow that much !!!
$522 MM
IF
you take the lump sum. At this level of reward, one is always more prudent to agree to the state-driven annuity.
"Gubmint do take a bite, don't she?"
“Current” jackpot? The $1.5864 billion jackpot was won on January 13th by winners in California, Tennessee, and Florida.
Wouldn’t you be able to say that the ticket was a ‘collective purchase’ and be able to avoid the gift tax?
“Michigan will take $40 million. “
Which will all get tossed at Flint.
With the outlay of $1, I think I could settle for $522 million with a smile on my face. That would last me the rest of my days, in style, with plenty left over for my kids.
In the end, I would still be out of pocket, only $1.
“anything over $14,000 in one year or $5.45 million over a lifetime is taxed at the gift tax rate of 40 percent.”
That’s what suitcases are for.
I always figured it’s roughly 1/2 the lump sum payout - pretty close
It could be less than that, depending on where you live.
First, the NPV of a $1.5 billion payout is $930 million. If you were a New York City resident:
Amount 930000000
NY State income tax 82026000
NY City income tax 36027545
Federal income tax 358887205
Total tax 476940750
Tax percentage 51.28%
Amount received 453059250
We dumped tea into Boston Harbor over a much small tax bite than that.
(Yes, yes, I know the tea tax had already been repealed by 1773. Relax.)
Quite frankly why not have Powerball available in all 50 states?
While i was in Australia last month they had a very good multi territory lotto.
Www.tatts.com
Tatts Lotto, several lottos per week, and a Set For Life drawing.
It would suck to go through life as a Henchman. Only a little better than a Lackey.
Lottery winnings are exempt from State taxes in MI?
Anyone even remotely familiar with finance knows you don’t “give” money to anyone, you route it through perfectly legal tax avoidance schemes like corporations and trusts.