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Old 11-18-2016, 08:53 AM
 
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Surprised that despite having a state income tax, California does not impose a state income tax on lottery winnings.
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Old 11-18-2016, 08:54 AM
 
Location: Charleston, SC
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Quote:
Originally Posted by misterjimmy View Post
Where will you find RELIABLE tax attorneys and investment advisers when you finally have the $122 million in your hot, sweaty grasp? Where do you park that cash while you're building your team?

Was going to answer jimmy -- but flyonpa nailed it. Park it in a Tax-Free Municipal Bond Fund.

Question -- If you win a November Big One, but don't claim it til January 2017....do you owe taxes for 2016 ?
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Old 11-18-2016, 09:10 AM
 
Location: MMU->ABE->ATL->ASH
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Quote:
Originally Posted by David A Stone View Post
Surprised that despite having a state income tax, California does not impose a state income tax on lottery winnings.
Pennsylvania & Delaware does not charge Income tax on Lottery also.



2012 table:

Lottery Tax Rates Vary Greatly By State | Tax Foundation
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Old 11-18-2016, 09:13 AM
 
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Quote:
Originally Posted by FiveLoaves View Post
Was going to answer jimmy -- but flyonpa nailed it. Park it in a Tax-Free Municipal Bond Fund.

Question -- If you win a November Big One, but don't claim it til January 2017....do you owe taxes for 2016 ?
I thought individuals use cash based accounting principles for treatment of income, so you declare it in the year you actually receive the money (2017), as opposed to the year you win it.
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Old 11-18-2016, 09:16 AM
 
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Quote:
Originally Posted by flyonpa View Post
You interview and Vet them like you would do for any professional you want to hire, you seek out trusted people in the field, and ask them.

Don't worry... Thousands of attorneys and investment advisers will be chasing you.

Where to park it. ... Well you don't need to claim it for 6month to a Year depending on the state.

Since when you claim it you need to claim it in the name of the "Correct" name, Your LLC, Your Trust, You need to set them up before you claim it.

Where to park it then. Any Major Brokerage would be good, Any HUGE bank.
This x1000. The key point being, don't claim it until you have your ducks in a row. For me, the most important thing would be to preserve anonymity. I wouldn't want my children knowing about it until they had "launched" lest they lose motivation from becoming productive adults.
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Old 11-18-2016, 10:54 AM
 
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Originally Posted by cheapdad00 View Post
This x1000. The key point being, don't claim it until you have your ducks in a row. For me, the most important thing would be to preserve anonymity. I wouldn't want my children knowing about it until they had "launched" lest they lose motivation from becoming productive adults.
I would venture ,despite your best efforts to remain anonymous ( trust fund etc) that within 30 days of cashing in tickets most people will have figured out who won............even if a state allows anonymity.
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Old 11-18-2016, 10:58 AM
 
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Also, in PowerBall you can have as many people collect the prize on one winning ticket.as long as there are no partial percentage winners.

Thus 100 people could all be winners providing each took 1% of that winning ticket.

A good way for the winner to divide up his winnings by giving family members a share/percentage and not have to worry about gift taxes.

Since each family member is part of the winning ticket, each pays their own income tax on their share.
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Old 11-18-2016, 12:11 PM
 
Location: Over yonder a piece
3,910 posts, read 4,645,590 times
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Quote:
Originally Posted by David A Stone View Post
I would venture ,despite your best efforts to remain anonymous ( trust fund etc) that within 30 days of cashing in tickets most people will have figured out who won............even if a state allows anonymity.
Not if you do it right.
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Old 11-18-2016, 01:12 PM
 
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Originally Posted by Girl View Post
Not if you do it right.
Agreed. I've always kept my finances private. I would gradually upgrade my life in the manner of someone who maybe inherited a few hundred thousand or cashed in some stocks. Then wait a couple of years before the next upgrade. I'm patient enough that no one would ever know I won a humongous amount of money, not even my relatives.
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Old 11-18-2016, 01:29 PM
 
Location: Central Massachusetts
4,800 posts, read 4,844,519 times
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Quote:
Originally Posted by LillyLillyLilly View Post
Agreed. I've always kept my finances private. I would gradually upgrade my life in the manner of someone who maybe inherited a few hundred thousand or cashed in some stocks. Then wait a couple of years before the next upgrade. I'm patient enough that no one would ever know I won a humongous amount of money, not even my relatives.
Just a point here. You might never be able to use it all in a usable time. Best make plans to disappear. A nice warm island would work for me.
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