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The Idaho Lottery automatically deducts approximately 25% federal taxes and 7.8% Idaho state taxes on all prizes over $5,000. The Idaho state tax is applicable for tickets purchased after January 1, 1998. The Lottery furnishes a W-2G form for prizes over $599. The amount of taxes owed on prizes depends on each winner's circumstances. For specific tax information, the Lottery suggests all winners consult a tax advisor.
Q: What happens to prize money if the winner dies?
If a winner dies before receiving all of the prize payments, the remainder of the prize money will be issued to the winner's estate.
Effective February 28, 2000 you will no longer have to decide whether to play Powerball for the cash or the annuity (thirty year payment) option prior to purchasing your Powerball ticket.