Kinda has a stench of “the wealthy get taxed too much 😢”
The IRS doesn’t get that money. The IRS processes that money and prevents your lottery-ticket-buying-ass from hoarding it all, and redistributes some of that unnecessary wealth to the utilities and services were all invested in together as a society.
If only actual billionaires got taxed that much…
This is what happens if you take it out as a lump sum. If you choose to take your winnings over an extended period of time (20 years or something), it is taxes more like income.
That said, I totally agree with you!
The poor smuck probably claimed the lottery as an individual. He should have opened a company and claimed the ticket so that he can expense out a lot of his taxable income
/s
I am 99% sure this is not how it will work in this specific scenario but does otherwise when it’s business as usual.
Sadly, the IRS isn’t properly staffed or equip to go after rich people…
Yeah good thing they take it from lottery winners up front.
Like schools
Congratulations to the lottery company who was allowed to advertise a $400m prize as $1.28b.
Yep, that’s the real issue!
Over here it’s not taxed so prizes are smaller but they represent reality!
You’d get significantly more if you didn’t take it in a lump sum
Damn, only half a billion dollars you didn’t have before. Might as well not even bother.
True, it’s too much for any individual either way
