Post by Dorothy J Heydt Post by Moriarty
I hope he(*) makes a list of everything bad he's ever done and one by
one makes up for all his mistakes. He should just try to be a better
(*) Or she.
Actually, to be both virtuous and practical ... s/he should
immediately seek the services of a good tax accountant. Figure
out how many good causes s/he can donate to and deduct, so as to
give the IRS as little as possible. Ordinarily I would say let
he IRS have what's coming to them, but not till there's a change
in the aspect of respectability.
I think it is a disgusting ruse that the state claws back the prize
it awards in its near-monopolistic games, but the trick is built into
Federalism. Even if the state you bought the ticket in exempted you
from state income tax on the winnings, it is the Feds who grab the
lion's share of the tax haul. There's no Federal Lottery in the
US. Mega Millions and Powerball are interstate compacts, and not
all states participate.
Given that some 40% or more of the winnings would be dumped
into Federal and, in most cases, state coffers if one had a
clueless accountant. by the time one's taxes are filed and paid,
directing a good chunk of that to efforts the winner approves of
seems to me only just and right. If it were me, I'd fund organizations
trying to limit government that were eligible for charitable deductions,
in addition to any other charitable causes I would support.
Would buying out Fred Wilpon's share of the Mets be considered a
charitable expenditure? :)
Sharing the money with family will, if you are too generous, incur
gift taxes. This is why some winners keep mum, gather the tribe,
and set up a family trust. The ticket, when signed and handed over
to the state gaming authorities for redemption, has been assigned
to the trust, as was done by a Pennsylvania winner back in April.
Plus side: tax advantages, everybody included gets a taste.
In PA, it enabled the winners to stay anonymous!
Not every state allows that. Where you have to
reveal your name, you may not be required to pose
for publicity photos. I'd skip the photo. Where
I had to get snapped, I'd shave my scruffy beard
ASAP and die my hair back to the color I had
in my 20s. [I might be growing a beard this winter.
I had one last winter, but it may be too soon
Down side: You don't have as big a nut as you would have had,
and can't be as big a shot.
Pissing off any shirt-tail relative you didn't
invite into the trust.
I'm single, so I wouldn't have to convince a spouse,
nor worry about "her side of the family."
I'd try to get in space-tourist shape, a perhaps futile goal,
but even if I only got close, it would improve my quality of
life, with or without money.
I could live very nicely on interest and dividends from a serious
lump sum. I currently live pretty cheaply, within my paycheck's
cash flow. I'd probably be gladdest about ending retirement worries,
at least initially.
I was kicking myself yesterday for buying a second lottery ticket.
I had forgotten I bought one on Saturday night. The occassional
lottery ticket is the only wagering I do. We have several casinos
in CT, but i've never been, not even for a show or a sporting
event at the attached arenas and auditoriums. I've never been any
good at playing cards for money, and I don't need a rathole for my
savings. I could make political contributions if I just wanted to
flush it down a metaphorical toilet.