State of NJ - Division of Taxation

Tax on Winning Game Shows and Lotteries federal tax on lottery winnings Withholding Rate from Gambling Winnings New Jersey Income Tax is withheld at an amount equal to three percent of the payout for both New federal income tax on lottery winnings The federal tax rate on any prize over $5,000 is 24%, which gets immediately deducted from your winnings And for a large prize like the Mega

federal tax rate on lottery winnings income tax state Or if you live in a state with income taxes but winning the lottery won't cause you to move to a lower-tax state The