Ask Axios: How do Ohio Lottery taxes work for Powerball, Mega

Taxes on Lottery Winnings by State 2024 federal lottery tax rate The federal tax rate on lottery winnings is 24%, which means you would owe $240,000 in taxes If you live in a state with a state income tax, federal tax rate on lottery winnings Gambling winnings are fully taxable and you must report the income on your tax return Gambling income includes but isn't limited to winnings from lotteries,

federal lottery tax If you win more than $5,000, you have to pay a 24 percent federal withholding tax However, depending on your annual earnings and tax deductions, you may get