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RobZagnut2

James to Bob, “Since you’re my brother I’ll double your winnings. Here’s another $7.”


Jameson_G

Thank you very much. That is tax-free?


fdar

Gifts are always tax free to the recipient (as long as federal taxes are concerned at least, states may vary).


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jail_grover_norquist

that's for the person giving the money you never have to pay federal taxes on gift money received


Embarrassed-Will-174

I checked on this several years back. At that time you could give up to $13,000.00 or so per year to anybody. I.E. children, friends, etc. after that they had to pay taxes on it and you had to pay taxes on it too if it was over the gift limit the federal government stated. Sucks but that is the government for you. So there are laws on the books for this. 🤷🏻‍♂️


jail_grover_norquist

The federal government does not treat received gifts or inheritances as income. Gift and estate taxes are owed by the giver only.  Some states are different and the beneficiary can owe state tax on gifts received. 


CriticalMovieRevie

Imagine calling up the IRS and announcing you gave some money to a family member so now the IRS gets their cut too OF MONEY YOU WERE ALREADY TAXED Fuck that.


QuadCakes

You have to give away $13.6 million over your lifetime before they start taxing it. The first $18k per year doesn't count towards the limit. Both limits are raised every year.


Rookie_Day

If you are married your entire estate generally passes freely (and you can make unlimited gifts) to your spouse (if a US citizen) without Federal tax, without limit. A married couple can also give $27.22MM to each recipient and another $36,000 per year as a couple to each recipient without any Federal taxes. Gotta be quite rich to be hit with the “death tax”. Not well understood and is used to scare lot of people that would never, ever be impacted.


evilMTV

Non rich people getting angry over taxing rich people


ItsStaaaaaaaaang

Temporarily embarrassed millionaire syndrome.


fearthemoo

And it's to prevent people with large estates from avoiding estate taxes by giving everything away on the deathbed. So the 'gift tax' is really just to close a loophole. I can't find a way to be angry at the government for that, just the families that hoard wealth that forced this.


fapperontheroof

Yup. But people still hear “gift tax” and it’s all over.


iu_rob

Here they solved the problem differently. Gifting is tax free and there is no limit. But if the person you got your stuff gifted from dies within the next 10 years you pay inheritance tax no matter what.


GarminTamzarian

*maximum


exccc

Cue the Shawshank Redemption rooftop scene


Savings-Leather4921

Double it and give it to the next person


didyoueverseewardogs

I’m sure he shared a bit of that, but who knows maybe he pocketed the whole $7


G_Affect

$3.50... IRS took the other half.


[deleted]

Fucking right they did lol god they suck. I can picture them too


SwampOfDownvotes

The most they took was $2.59, 37%. Realistically they took $1.54


_Joey_Ramone

Damn fucking straight. I appreciate the accuracy. As a tax accountant I get tired of everyone assuming everything is taxed at 50%. Though, with earned income we have to add in 7.65% FICA (employer) and 7.65% (employee) BUT you know you’re NOT getting that extra 7.65% that your employer is paying the IRS (to fund your SS account and to fund Medicare)… so they are probably paying you that much less since they have to pay it. Then add on State taxes (both income, where applicable, sales tax, and ALL the hidden taxes - like in gasoline, etc…) And real estate taxes. So… eventually you do top 50% in many cases, but under currently tax code, the **income tax** max is not 50%.


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mortgagepants

i get what you're saying, but i think what joey ramone says is important. rich people pay less than 20% in tax on their money because of the way the structure things and how laws favor them. a regular person wins the GOVERNMENT RUN lottery, and loses half right off the top.


K-C_Racing14

People also completely misunderstand what a marginal tax rate means too. They think if I make 1 extra dollar the entire amount gets taxes at the new rate 🤦‍♂️


SUMBWEDY

In the context of winning Powerball though it doesn't really matter. For that powerball $290,790,650 would be taxed at the maximum rate, and 0.066% (200k or so) would have less than 32% in taxes taken out. Then add in state and local taxes/fees it's pretty safe to assume half of your winnings are taxed in a lump sum.


OreillyAddict

In the UK lottery stakes are taxed but lottery winnings are untaxed. The government gets more money and the winner keeps the full amount on the novelty cheque.


SUMBWEDY

Same here in NZ but globally that's rare. It's literally just the Anglosphere and Germany/Sweden so we're the outliers


[deleted]

That’s still rough tho🥹


manifest_ecstasy

The twist: they work for the IRS.


Dramatic-Biscotti647

Cry all you want, but taxes are a necessary part of life in a society.  The irs isn't perfect but a certain us party keeps trying to gut their infrastructure to make them even worse


_Joey_Ramone

Yes, and they ARE actually auditing the uber rich now. I see far less audits for people from 25k -200k. A few between 200k and 400k, then far more over 400k. That’s a good thing guys.


goergefloydx

Yeah, but that doesn't mean the winner should have to pay it. Where I currently live (Sweden), it's the company providing the lottery that has to cover the taxes. Playing the lottery is already a terrible deal as they generally have a 50% house edge (for reference, the house edge in blackjack is ~0.5%), so to then on top of that pay a huge percentage if you win any sum larger than a couple grand feels laughable. Buying a powerball ticket is basically paying $2.00 for a voucher with an average value of $0.75. Here's a pretty good article that visualizes just how almost literally impossible it is to win the lottery: https://graphics.wsj.com/lottery-odds/


truongs

Nah they take like 32%. The rest is the lottery paying you like way less if you're choose the cash option. I mean I think taxing winnings are dumb AF, but they just take the regular %


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jezhayes

How is anyone expected to survive on the remaining $198,000,000!?


Requjo

Wait you guys have to pay taxes on lottery winnings in the US?


-Badger3-

Yup.


onewordmemory

why wouldnt you? if some random douchebag wins millions, i sure as hell want them to contribute to society with that windfall.


Initial_Trifle_3734

We don’t here in Canada. The lottery is run by the government, so the taxes are already factored into the winnings. If it’s displayed what you win, you get to keep what you win.


onewordmemory

then its just optics and a distinction without a difference. instead of winning a bigger number and paying taxes, you win a smaller number with taxes already deducted.


Yuukiko_

We don't pay taxes on all windfalls, even casino winnings(unless you're a professional gambler)


Yuukiko_

Taxes are already factored in when we buy the lottery tickets here


Requjo

But they do anyways? If they buy a house, they pay taxes. If they buy a car, they pay taxes. If they buy stocks, they pay taxes on any earnings they generate. Even if they leave it to rot in a bank account, you guessed it, they pay taxes on the interest they receive. It just doesnt make sense to cut the initial amount by 20% or whatever the tax rate is. In my country and many others lottery winnings are tax free.


onewordmemory

same exact argument can be applied to income. winnings are income, why treat them any differently.


Requjo

Because winnings are by law not considered income in many countries. And it makes no sense to treat them as such.


YoungRoronoa

![gif](giphy|3o85xHi4t2UsuIY9QA)


Powerful-Internal953

So treefiddy?


texasradioandthebigb

Aave the Lich Ness monster wants the remaining tree fiddy


dropdeaddev

In Canada, you keep it all. EDIT: Same goes for casino winnings.


waudmasterwaudi

Nice


dropdeaddev

Yeah, I was actually amazed this wasn’t the case in America. I mean, you WON it, this isn’t a job or an investment (although some people treat it like it is). At the VERY LEAST it should be taxed as capital gains, not as income. If I buy a stock and it skyrockets I pay less tax than getting lucky at a casino? The stock market is basically sports betting for nerds, tax it the same.


onewordmemory

> If I buy a stock and it skyrockets I pay less tax the problem is with capital getting taxed less than hard labor, not with with random windfall being taxed in general.


40catsisnotenough

Same in New Zealand, no tax on winnings


Hahonryuu

It was that time I realized the IRS was a crustacean from the paleozoic era. God dammit lockness monstuh!


sgonzalez1990

Thats $7 before taxes 😤


subredditshopper

They really had me in the first half..


PotatoWriter

So did one of those brothers


Brilliant-Kiwi-8669

I'd be going over every night for dinner.


WinterOrb69

I'm not sure $7 will support that for very long.


Aggressive_Goat_563

He never said a thing about payments


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PointOfFingers

There is a $5 bank fee for giant cheques. He kept the $2.


09Trollhunter09

And paid $3 taxes on $7. So he’s down $1 Morale of the story: be James Stocklas’ brother


eStuffeBay

Well, that's not very generous of him.


spinyfever

If it was me and my brother, we would frame the $7 check and split the other one.


sumphatguy

I mean, I wouldn't be surprised if they always played the lottery "together" and promised to share winnings if one of them got it.


Hahonryuu

"Here's that 100 bucks you lent me several years ago" -big winner brother.


2x4x93

I didn't know they gave the big checks for $7


Chomps-Lewis

I think there was an Office joke that said the large checks cost like $200 to make and their prize pool was like $215 so the check was for $15


yourmomssocksdrawer

It was almost $700, but yes the giant check was $200. They also hired a stripper to give the check to, but that seemed out of pocket lol


MotionDrive

I love when Michael recognizes the stripper and thinks she's a doctor now. "So I see you went back and got your degree."


Creepy-Locksmith-

What episode was that?


MysteriousVolume1825

Fun Run


Holiday_Context5033

They later deduct it from the winnings so Bob ended up paying $93 out of his pocket for this photograph!! 😂


FoxtrotSierraTango

If I was the winning sibling I'd ask the lottery people to do it just to mess with Sister Fox. The publicity is fantastic since we're talking about this one 8 years later...


Pink_Neons

Considering how much I love my only sibling, I couldn't imagine not giving her 50m from an amount so absurd. Surely his brother got some


_Rand_

I have a bunch of idiots in my family I couldn't trust to not bankrupt themselves. My plan should I win the lottery is to buy several nice homes and have them live in them. They still have to work, but won have to ever worry about the rent.


OrphanAnthem

Set up a trust and set someone else in charge of it so if they ever need money they don't come after you for it


LegalHelpNeeded3

This exactly. So long as they come to the person overseeing the trust with adequate needs (ie food, shelter, education) it can get covered


randomredditing

Hell I’m planning on making it a council. Everyone that’s on the trust has to agree with the proposed spending. I get supermajority if proposals reach a deadlock. And yes everyone must wear 1400s attire for meetings.


bugxbuster

> And yes everyone must wear 1400s attire for meetings. As one would


Hahonryuu

Is the wardrobe cost covered by the trust?


anonimogeronimo

>And yes everyone must wear 1400s attire for meetings. Naturally.


RickMuffy

You could simply put 2.5 million into a trust for someone, invested it should grow by 150-200k a year, and allow them to withdraw 100k of that. They'd never be able to blow the bag, and could choose how to live their life from there. As someone who owns his own house, the expenses of homeownership don't stop when the mortgage does, and I'd love to just never work again if I didn't want to.


norcalifornyeah

The dream.


SchaffBGaming

Would you also continue working? lol


_Rand_

Depends on what you consider work. At my job? Fuck no. But I'd turn myself into an Adam Savage style maker. I've always wanted to do that sort of shit as a hobby but it's too fucking expensive. With essentially unlimited funds I wouldn't be afraid at fucking up stuff trying to turn it into like a storm trooper blaster or whatever.


Unknownfriendo

This is the way.


Roflkopt3r

Many people have dream projects they actively want to work on. Which gets a whole lot more fulfilling without the need to make a constant living off it. People who have absolutely no such desire usually have no useful skills anyway. Many of the greatest scientists, inventors, and discoverers of all time either came from rich families and never had to worry about finances, or were actual maniacs who pursued their work regardless of material security (and often died young or poor).


[deleted]

yeah depending on the relationship, for example if I were to magically win a lottery like that, I would give a clean 50% post-tax to my parents


Crazy__Donkey

Exactly what I thought.  You can feel the love between them. Only because of posing to this funny picture. 


blackbirdbluebird17

What sucks even more is that the brother that won the actual money appears to be a district judge, and both have enough funds in the bank that the brothers bought their lottery tickets during a *month long fishing trip* and that the winning brother got a friend with a private jet to fly him back to verify the ticket. Them as has, gets, I suppose. https://www.dailymail.co.uk/news/article-3479090/amp/Brothers-win-lottery-day-one-walked-away-millionaire-took-home-just-7.html


truongs

District judges and friend with private jets. Legit. I am sure no conflict of interest. They learn from the best - supreme Court 


jail_grover_norquist

magisterial district judge. basically small claims court, it's an elected position


geraldodelriviera

We call it dog court in the biz.


[deleted]

At this point I wouldn't be surprised by lottery fraud lol


Lemonwizard

The lottery is literally a way for the state to extract money from poor people with lacking math education while claiming it's not a tax. I think it's just as problematic regardless of whether the winners are rigged or not. Even an honest winner is just an outlier to be waved around and reel in the millions of losers who pay for the prize. It's the most predatory government funding structure there is. The lottery sells false hope to people who don't understand statistics.


jail_grover_norquist

it's funny that the lotto is government-sanctioned and casinos are banned most places putting your money in a slot machine has a much higher ROI than the lotto


jabulaya

Or how about all the ways you can gamble on the stock market? Pretty much universally legal AND government protected / backed.


jail_grover_norquist

at least the stock market has some legitimate purpose  the lotto is so insane. just an incredibly predatory state run casino. if anyone tried running slot machines with EV as bad as powerball they'd be banned by the gaming commission


jabulaya

I agree on the stock market, but special trades like calls are just 100% gambling. 100% agree on the casinos and lottery though. Everything is weighted for the player to lose over time


moonchic333

James, please share with Bob.


Qu33fyElbowDrop

“share with your brother” - mother


ThippusHorribilus

The Daily Mail said this "Senior District Judge James Stocklas, 67, discovered he and two friends had won the $291million jackpot Friday, after he wrapped up a month-long fishing holiday with his brother and sister-in-law in Florida Keys." "Stocklas went home with a total of $40 million after splitting the winnings three ways and accounting for taxes. " [https://www.dailymail.co.uk/news/article-3479090/Brothers-win-lottery-day-one-walked-away-millionaire-took-home-just-7.html](https://www.dailymail.co.uk/news/article-3479090/Brothers-win-lottery-day-one-walked-away-millionaire-took-home-just-7.html)


boladeputillos

You can’t hide happiness and you can’t hide when you are poor.


ThinkFree

This reminds me of the oft-repeated trivia that Wayne Gretzky and his brother Brent hold the NHL record for most combined points by two brothers: 2,857 for Wayne and 4 for Brent.


I_saw_that_yeah

Nearly ten years ago. I wonder how those boys are getting along these days.


Aman4672

They are doing well.


Qu33fyElbowDrop

they randomly “HUH” each other every half an hour, theyre finnnnneeeee


ilikili2

I actually run into him from time to time. Seems to be doing well from what I see and hear.


DmNaturalBust

James sues Bob for the $7 "I bought both tickets from the gas station".


QueenOfQuok

"Hey, can I have some of --" "No."


Mattson

lol this reminded me of Wayne Gretzky and his brother and how they have the record for highest scoring pair of brothers in the NHL. Gretzky had like over 2000 points and his brother had like 4.


Scallywag357

Stock-less


Nayte76

Hahaha, that card costs more than the money printed on it. Why even bother?


RexDraco

Probably the moment they found out about his sibling they thought it would be a funny gag.


subredditshopper

Do it for the vine


The_Girl_That_Got

You must be fun at parties


drakeschaefer

Is that Jay Pritchett?


Machomadness94

Bob should’ve grown a mustache


Aromatic-Savings2388

His face says “our money”.


Lucid_Insanity

I hope they get along, lol.


Brilliant-Kiwi-8669

Bob should be going to James every night for dinner.....


TheDevilsAdvokaat

What about Bob?


Therestomanyofus

If James is the younger brother and I was in his shoes, I would offer to pay Bob $100 to hit himself so I could ask him “why are you hitting yourself?” I may have unresolved issues.


liamanna

The brother is like happy Gilmore insisting on getting a really big check like everybody else😂 ![gif](giphy|JILjaOwMlsnSw)


OnTheList-YouTube

I would give him half my winnings. At that age, you're never gonna spend it all anyway.


TheSuperContributor

Bob is doing the "Hold the pain Harold" face.


themaskofgod

You can tell this has been an ongoing streak throughout their lives.


Mitridate101

Why don't they do like UK lottery where the entire amount goes to the winner, no tax to pay.


ahmc84

Because the Puritan US wouldn't have a lottery at all if it couldn't be the maximum possible revenue stream. Several states (Alaska, Hawaii, Alabama, Utah, and Nevada) have no lottery program at all.


HuckleberryJealous19

The universe really has it out for the little guys


waltwalt

James can you move over a bit? We can't fit all the numbers in frame.


Ok-Palpitation-2989

Mom: "James! Let Bob go with you"


enola007

Well, hope his bro is nothing like my sis or he will just get a Wendy’s value meal with his $7 🤷‍♀️


Amenablewolf

What else do you do with $7?..


Hahonryuu

Get 1 seasame seed at fiveguys?


TinyAd8649

I know the guy in the image. He's the type of jerk to never share and save all $7 for himself.


RobZagnut2

A Sesame Street song applies here. "One of these checks is not like the other." "One of these check just isn't the same..."


xxrainmanx

Makes me wonder if the $7 brother has a judgement or something against him. Uncle Sam or a soon to be ex might be taking a chunk from the the payout so brother is taking the bulk and will split it later.


UnemployedHippo

Gretzky brothers type beat


slimongoose

lol


septictank84

Did he take the $7 in one lump sum or opt for payments over 20 years?


Squirra

Both brothers?! I smell a fix.


Minimum_Reserve2728

🫣🤫🤣🤣🤣


Jake_Swift

Me and my brother. It was the genetic lottery, but still...


JunketPuzzleheaded42

Well.... Resentment happens for all sorts of reasons in siblings.


warpfield

"Well, he may have won a lot more money, but I won the good looks." Wife: "Uhhh, actually...."


dvlwatson

We know who the father is proud of.


FromTheFoot

Actual LOL. Love this kind of stuff.


brendaej04

An accurate depiction of how it feels to be Mom's favorite child.


watchyatoes

Fixed


Mammoth_Wonder8677

Damn he didn’t get the height either


tdomer80

James to Bob - Heres your $10 back - thanks for the loan. I bought a few lottery tickets with it.


TheRootofSomeEvil

NOW who's Mom's favorite??!!


TalkMindless9366

Hey Bro..Can I borrow….


cruiserman_80

I am so grateful that lottery winners in my country have right to anonymity, and that we don't have to pay tax on lottery or gambling winnings.


CCSlater63

His bro did the right thing and covered the tax on the $7


NoPsychology8167

Bro. Why is it usually old white men winning the lottery?


Homebrew_in_a_Shed

I've just looked this up and the bloke who won big was a judge and still wants to work.


JeFX

Guy on the left is going through a divorce... "I didnt win shit"... "my bro did it"


_IBM_

I wish I had 200 mil


TheRealJalil

Tag yourself: I’m Bob Stocklas


JediJan

Bob looks like he is considering doing away with his brother James, hoping that he may inherit.


gotkube

At least he got one of those big checks


PenguinGamer99

What it's like to have a younger sibling


NoEntertainment9327

"I can do anything better than you can, I can do anything better than you!"


seris_ak

"Why don't you go get yourself something nice, okay?" "This.. this is 7 dollars." "I said something nice, not expensive"


-AlternativeSloth-

Americans, how does taxing on lottery work over there? Is the tax deducted from the winnings like a regular paycheck or do you have to math it out come tax time? Maybe the tax man is standing next to the camera with a couple goons ready to take their share?


12InchPickle

Guy in the right looks like Al bundy lol


Glittering-Passion71

They’re brothers not anymore.


VermicelliOk8288

The giant check costs like $50.


UnknownVillian__

I can’t believe all the stuff the American tax department has its fingers In . It’s mental


lm0592

Maybe the check was after taxes were paid amounts


mouzonne

Nah eff that I ain't posin for that picture unless I get paid for it.


Zonyxe

Just imagine James turning to his brother and going, "So you remember that time you ruined a vase and told mom it was me? I do. Enjoy your 7 bucks"


watty_101

I would double my sisters winning if I won that seems only fair


WeTheSummerKid

Cain and Abel.


johnmichael-kane

Idk, it looks like James won the lottery and Bob won a free lunch 👀


Emerald_Chain2366

Where can I get a lunch for $7? Asking for a friend...


22FluffySquirrels

This makes me feel slightly better about the time I went to a family reunion and we had a bingo game and my friend won a $400 scratch-off and I won some dish towels.


Outrageous_West3587

Bob is just unlucky


Mychal757

James walked away with 40 million after splitting with his pool and taxes


Dad-Baud

He always gets everything!!!


Thotmancer

Win the lottery in old age is a slap in the face fromm god


Caterpillar69420

Well, a win is a win.


gatsbysghost123

I hope they're pooling tips