And that they're going to be lucky to get half of what they win?
I like the one they had on tonight that settled for $3,500 - she said "Yeah I can still get started with $3,500!" She'll be lucky to have $1,800 when Uncle Sam gets done with her.
Hopefully the show is produced in New York. California has a gameshow tax, on top of Federal and state tax.
share
>> California has a gameshow tax <<
Interesting... I wonder if you live out of state you still owe California their share?
As I understand it, CA gameshow tax applies to winnings within the state regardless what state you live in. Like a hotel tax applies to where you stay, not where you're from.
shareI wonder what happens if someone won 1 cent or 1 dollar
share[deleted]
yes my friend was on the show and they tell the contestants they are not allowed to mention the word "taxes" during taping. But they are told before that they must pay taxes on their winnings
share
>> contestants... are not allowed to mention the word "taxes"
I figured as much... I knew the contestants really couldn't be that dumb! ;)
Yeah, what did the stupid government ever do to help them win?
shareI don't think people think about it. Personally, I think that is the most ridiculous, sleazy tax we have. How the heck do you tax people on things they win?
I was just watching the show and they had an 'update' with a previous contestant, Erin Birch, who did mention that taxes were taken out.
RIP 2009. Bad year for Celebrities. Now Haiti too
>> How the heck do you tax people on things they win? <<
Ever hear of inheritance tax? They want to tax things that have already had the tax paid! That's double-dipping at its best!
Yeah, I have. Those are two taxes that I think are cheesy as hell, gift and inheritance. Income taxes, sales taxes, homeowners taxes, okay. Gift and inheritance taxes, hell no.
RIP 2009. Bad year for Celebrities. Now Haiti too
Game show winnings are taxable by the government. The problem is when you win a prize because the show charges more than what your store would charge so you are taxed higher. But you can get around it by finding the same item at a discount store, get the storekeeper to sign a paper that states its worth and declare it on the income tax form at the lower price. Cash prizes you cannot get around.
shareSo if I win, say, $100,000 in a gameshow in California and if live in New York I have to:
Pay Federal income tax
Pay New York state income tax
Pay the special California gameshow tax
And so I also have to pay California state income tax and Federal SS taxes?
Who is John Galt?