I don't know if I'd go through with it if I won (I rarely play the lottery, in fact, haven't in 10 years) but I'd probably donate the entire winnings to Christian churches and charities and make a public statement saying "I know these private charities would make far better and more efficient use of the money than the government would by taking the tax money".
I've heard that too.
I believe that I'd donate a fair share of it to charities.
But I know I'd definitely keep enough to remain financially secure for many years to come.
You might consider the Club for Growth or the Cato Institute, NRA/GOA/JPFO, or other such things as well.
I'd put most of it in municipal bonds and live off the interest tax free. donate hefty amounts to pro-life groups. Pay off my families' debts.
Several years ago, a good friend of wifey's won a million bucks through some sort of church raffle ($100 per ticket!). It was one of those payable over 20 years thingies and her take was around a whopping $40,000 per year.
They all came out of the woodwork, including the family of an unfamiliar uncle who insisted she pay for his looming heart transplant.
Nice thought. Would they want it, knowing where it came from?
How about starting a foundation for the treatment of compulsive gamblers and their families?