Thai man wins 5 million dollars from California lottery game

[mommysboy]

Give it a year and he will have spent 6 million.

 

[anto]

Either way he is set up for life .Its nice to see an average joe win .As said the Euro million lottery is paid in full .An Irish lady won it about 10 years ago Roughly 120 million Euro which is close to the same in dollars .She bought a load of property and set up her children in business .Her mansion did get robbed at one point but not a big loss to her .

[Joebuzz]

4 hours ago, missoura said:

Good question. I wonder what the law actually says.

He owes 90% taxes to Thailand.

[Dazinoz]

His extended Thai family( about 75% Thailand) are currently trying to contact him.

[wakeupplease]

5 hours ago, fforest1 said:

I say forget LA.....

Come back to Thailand and live like a king....

Stay where you are mate its safer not so many corrupt people to pay off

[JRUSA]

1 hour ago, Retfed50 said:

California does have a high tax rate but it is graduated just like most states andthe federal tax rates. It will probably cost him around $650,000 in CA taxes and a little over 2 million in federal taxes. Hope he gets some good advice. Best bet is to pay the entire tax due to CA before Dec. 31 and the he can deduct that entire amount against his federal income. Should save him around $200,000 or so. He should end up with around 2.5 mil. When it comes to unexpected income such as lottery winnings, the US Internal Revenue Service will not penalize you for not making quarterly estimated tax payments.

If I'm not mistaken, he can also income agerage his winnings to his smaller income for the previous 3 yrs.. which will save him more..

[DrPhibes]

If he is a resident of California (sounds like it), he will pay no taxes on the winnings to CA.  His Federal tax obligation will be $1,933,675 assuming he is single and has no kids.  Just ran it through my software.

 

Income averaging has been gone from the US tax code for some time.

 

Also assuming $5mil payout at one time, not paid out over time or a reduced cash value.

Edited August 21, 2017 by DrPhibes
spelling

[Petmag]

Well done..

[stickyrice2000]

I will send him Gun Ting envelope.  Anybody knows his address?  LOL

[tomyummer]

I say forget LA.....
Come back to Thailand and live like a king....

.....for a while, and then find himself a pauper after all relatives and friends come out of the wordkorks to borrow it all till nothing is left.

[gk10002000]

12 hours ago, JAFO said:

The winnings are considered income. He will be liable for all Fed and State taxes. In California he will lose nearly 40 to 50% of that $5mil (Roughly). Good Tax adviser might be able to mitigate some of the tax penalties

 

He then will be required to file quarterly taxes on the remaining amount most likely due to his income increase.

 

Its not so glamorous but still he might end up with about $2 mil when all said and done. Not bad for a scratcher ticket

 

Congrats to him

 

 

Actually, and surprisingly, California does NOT tax lottery winnings.  I assume that is for drawing lotteries as well as scratch ticket lotteries.  Of course, I have no idea what residency he claims, but since he is there in the photo holding the check he must have some proper ID.  The max Fed tax rate is just under 40% I believe at the moment.  Now, how far reaching is the Thailand tax authority?  Will they seek him out?

[gk10002000]

Well, the current Powerball is ~ 650 Million USD for this week's drawing. 

[mushroomdave]

15 hours ago, Retfed50 said:

Tell your friend not to brag too much about this. What he and his "helpets"did was tax fraud! All it takes is one pi**ssed off friend to notify the IRS and he could be open to big problems.....the least of which are a 25%fraud penalty and large fines. Either he has a lot of friends or his friends are spending way too much on lottery tickets. In order for him to get $27,000 back, he would have had to produce $27,000 worth of losing lottery tickets. Most state's tax returns are based on the federal tax return so he would be able to deduct any legitamate gambling losses.

           New York state friend of mine told me when home this summer that he had won 100,000 on a scratch a few yrs back.  He paid 30,000 or so in tax then, not sure the exact way it's done but had friends who had shops and other friends give him losing scratch/other losing tickets.  Claimed all them on his income tax as a loss and got something like 27,000 back.  He said not all states allow this but NY State does.                                                                                                                                                                                                                             Like i said, in "New York State" it is legal and not fraud...and he was bragging.......  https://tax.custhelp.com/app/answers/detail/a_id/432/~/can-i-deduct-the-amount-spent-on-non-winning-lottery-tickets-on-my-income-tax.                                                                                                                                                           http://www.nydailynews.com/life-style/mr-lotto-handle-losing-lottery-tickets-taxman-article-1.344692

Edited August 22, 2017 by mushroomdave

[Thechook]

An Aussie woman won a lottery on the weekend also.

[bristolgeoff]

he will have relatives coming out of the woodwork now.can you help me cousin

[JohnThailandJohn]

18 hours ago, JAFO said:

The winnings are considered income. He will be liable for all Fed and State taxes. In California he will lose nearly 40 to 50% of that $5mil (Roughly). Good Tax adviser might be able to mitigate some of the tax penalties

 

He then will be required to file quarterly taxes on the remaining amount most likely due to his income increase.

 

Its not so glamorous but still he might end up with about $2 mil when all said and done. Not bad for a scratcher ticket

 

Congrats to him

 

 

Might be worse than this. On large winnings they want you to take it as annuity payments and if you take the lump sum they deduct like 35% percent.  Just not sure what they consider a large amount or if it is just on winning the Jackpot.

One thing for sure though is California doesn't tax lottery winnings. They Feds however will take about 40% when all is said and done.

[Retfed50]

1 hour ago, mushroomdave said:

           New York state friend of mine told me when home this summer that he had won 100,000 on a scratch a few yrs back.  He paid 30,000 or so in tax then, not sure the exact way it's done but had friends who had shops and other friends give him losing scratch/other losing tickets.  Claimed all them on his income tax as a loss and got something like 27,000 back.  He said not all states allow this but NY State does.                                                                                                                                                                                                                             Like i said, in "New York State" it is legal and not fraud...and he was bragging.......  https://tax.custhelp.com/app/answers/detail/a_id/432/~/can-i-deduct-the-amount-spent-on-non-winning-lottery-tickets-on-my-income-tax.                                                                                                                                                           http://www.nydailynews.com/life-style/mr-lotto-handle-losing-lottery-tickets-taxman-article-1.344692

It is only legal to deduct the amount that YOU spent on losing tickets. You cannot use losing tickets gathered from others to offset your winnings....that IS fraud!

[Beats56]

19 hours ago, Classic Ray said:

Move to the UK folks where lottery winnings are paid in full and tax-free, even Euromillions where people have won nearly £200 million (8 billion baht)!

Same in Canada.

[khundon]

If he has any sense he will stay in the US.

[GOLDBUGGY]

I wonder if his Divorced Thai Wife saw this picture and read this news? 

 

Not sure about him, but I know that if I won $5 Million, the last thing I would want is to have my face and name splashed over the World News Page.

 

But I suppose it is a good way to discover that you had kids long ago that you never knew about before this time. 

[GOLDBUGGY]

I think it almost everybodies secret dream and wish to win a Big Lottory one day. 

 

But it is surprising at how many Big Lotto Winners are not so happy years later after there win and many end up being Divorced.

 

But for me, let me win first, and then I will take my chances later. 

[Damrongsak]

On 8/21/2017 at 5:29 PM, gk10002000 said:

Well, the current Powerball is ~ 650 Million USD for this week's drawing. 

I think it got up close to $750 million.  I don't generally gamble, but I spent $2. just for the heck of it.  I only missed winning by 6 numbers.

[Damrongsak]

On 8/21/2017 at 7:16 AM, Dazinoz said:

His extended Thai family( about 75% Thailand) are currently trying to contact him.

I sponsored 7 Thai relatives to come to the USA (It was an accident - I thought I was getting two.).  Not long after that, a long-lost sister was discovered in Vietnam. 

[catman20]

On 8/22/2017 at 0:56 PM, Beats56 said:

Same in Canada.

hahahha like you can choose your country where you would like to win.

i think ill go to the uk to win the lotto next week as im running a bit short on cash

[Beats56]

2 hours ago, catman20 said:

hahahha like you can choose your country where you would like to win.

i think ill go to the uk to win the lotto next week as im running a bit short on cash

I don't have to choose my country as I am canadian. In fact I can cross the border to the US and buy a power ball ticket. But being in Thailand I can go online and to the lotto site and pick my number for each draw which will be entered in every draw automatically.

[catman20]

On 8/25/2017 at 9:18 AM, Beats56 said:

I don't have to choose my country as I am canadian. In fact I can cross the border to the US and buy a power ball ticket. But being in Thailand I can go online and to the lotto site and pick my number for each draw which will be entered in every draw automatically.

you missed my sarcastic point 

[Beats56]

3 hours ago, catman20 said:

you missed my sarcastic point 

Ok sorry 

[DLang]

Why do I envisage him arriving back in Thailand, every relative and neighbor acting like his long lost lover, and within a week the local police coming in with balaclavas and kidnapping him.