Big tax on Gun Club raffle at the grand - who knew? Kolar Regal!

Did the Delegates know there was a big tax on the winner. I am told the Delegates were surprised to hear this. Does the PA winner of the Krieghoff pay that? We need more information here.

I report. You decide.
merlo out

 

Yes, large raffle winnings are taxable. It is not unique to Illinois or the ATA. I have met several people over the years who won motorcycles in fundraising raffles. All but one took the cash option instead of the motorcycle because of the taxes. One guy (in Wisc.) wanted the Harley. He said that "free" motorcycle wound up being pretty expensive when the smoke all cleared.

 

These big shoots collect SS# before paying off $$$ or high dollar prizes. This has been going for over 20 years, I know because I had to supply mine back at Vandalia in 2004 when I won big. Shouldn't be news to anyone that pays taxes.

 

And THAT boys and girls is one of the reasons we shot pigeons.

"Hey Bud, congrats, I heard you won the Calcutta at Malloy's.
Yep, I sure did.
How much was it if you don't mind me asking?
A little over Eighty Six Thousand.
Really, WOW, how much tax did you have to pay?
Zero


And for all you tax accountants out there, I have a question.

In 2018 we had $53,000.00 in hand pay winnings from the different casinos we visited.
In 2019, we had $48,000.00 in hand pays.

How much tax do you think we paid on that $101,000.00?

And that kids is why we go to casinos instead of the registered shoots. The ata left me, I didn't leave the ata.

Go on, take a guess at that tax number. LOL

 

$0 if you recorded the bets you made to offset the winnings.

 

Winner winner.
All we had to do was get a Win/Loss statement from the casinos and that was it. It was a wash. Won 50K? Lost 50K. AND, since they count every penny bet as a "loss", you don't have to actually lose that amount to cover the winnings.

 

It's the same with the Golf Cart at the Ohio State shoot each year. The winner pays the sales tax on the cart before it can leave. Been that way for years.
If Delegates were surprised, it's because they didn't care in the first place. Common knowledge that winners of large prizes are responsible for taxes.

 

Kelli gets it....

 

In my misspent youth I spent way too much time at River Downs, a race track east of Cincinnati. There was an elderly lady known as "Cash Em All Annie." She would cash winning tickets for guys that required the track to record the winners SS number for tax purposes. She would take a percentage of the winnings that would be about half of what the IRS would take from the owner of the ticket. As she was on social security I suppose her tax burden was next to nothing.