Sweepstakes Winnings Income Tax Question

by Derek Jones
(Florida)

Sweepstakes Winnings Income Tax Question

Sweepstakes Winnings Income Tax Question

I recently won the Marlboro sweepstakes Prize 5000$ American Express gift of travel along with a check for 1,700$ Due to illness I have been unemployed for the year with no income whatsoever and on foodstamps living with my elderly mother.

I am Male 38 years old. Will I have to pay any taxes on the win if my total income for the year was the 6,738.99 Total approximate retail value (ARV) from the win?

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Jan 20, 2024
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starstarstarstarstar 		Tax Considerations for Prize Winnings
by: BB

In general, winnings from sweepstakes and prizes are considered taxable income. However, since your total income for the year is minimal, it's essential to assess whether your overall income falls below the taxable threshold.

The approximate retail value (ARV) of the prize, including the $1,700 check, contributes to your total income. You may want to consult with a tax professional to evaluate your specific circumstances and explore potential deductions or credits that could apply.

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Sweepstakes Winner In Florida


(Florida)

I live in Florida we do not have state income tax. I won a car thru a sweepstakes. I know I will be paying federal income taxes on it but what about state taxes?

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Jan 20, 2024
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starstarstarstarstar 		No State Income Tax in Florida
by: BB

Good news! Since Florida doesn't have a state income tax, you won't be required to pay any state taxes on the car you won through the sweepstakes. However, it's important to note that federal income taxes still apply to prize winnings, so you should consider the potential tax implications at the federal level.

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