The winner of the $1.35 billion Mega Millions jackpot – the fourth largest in US history – would have been about $52 million richer if he’d bought his lottery ticket just a mile away in New Hampshire.
The currently unidentified winner purchased his ticket at a gas station in the quaint town of Lebanon, Maine, which is 1.2 miles from New Hampshire — a state that doesn’t levy taxes on lottery winnings.
As it stands in Maine, if the winner claims their prize money in a single lump sum, as almost everyone normally does, they will have $404 million taken from them after the state’s lottery and income taxes are deducted.
In New Hampshire, which has none of these taxes, that total would have been around $456 million.
New Hampshire is one of eight such states in the country – others include California, Florida, South Dakota, Tennessee, Texas, Washington and Wyoming.
However, one potential benefit of winning the Maine lottery is that the winner retains the right to remain anonymous.
The $1.35 billion Mega Millions jackpot winner would have been $52 million richer if he’d bought his lottery ticket just 1.2 miles down the road in New Hampshire
Hometown Gas & Grill owner Fred Cotreau (pictured) said he serves a close-knit community and hopes the winner is local
The Mega Millions jackpot win was announced just before 9am on Saturday. according to state lottery officials.
Hometown Gas & Grill owner Fred Cotreau said he serves a close-knit community and hopes the winner is local.
“We are a small community. We are a small shop. We just hope it’s someone local,” Comeau told WMUR. When he got a call Saturday morning to say he’d sold the winning ticket, he initially thought he was being scammed, he told CNN.
Local resident Brian Comeau echoed the same sentiment, saying: “We’re hoping it’s one of our locals, so it’s a story we’ll have forever, you know?”
New Hampshire Gov. Chris Sununu took the opportunity to poke fun at Maine Gov. Janet Mills and congratulated her on her paycheck, but assured people in his own state that he would not be holding on to any income taxes .
When Cotreau was called on Saturday morning to say he had sold the winning ticket, he initially thought he was being scammed
New Hampshire is one of eight states in the country that don’t tax lottery winnings — the others include California, Florida, South Dakota, Tennessee, Texas, Washington and Wyoming
New Hampshire Gov. Chris Sununu (pictured) commented on the “expensive mile” and reassured the people of New Hampshire that no income tax would remain
‘Sold in Lebanon, ME just 1 mile from NH… talk expensive mile!’ Sununu wrote in a tweet on Sunday.
He added: “If the winning numbers had been played in NH, the winner would have saved $40 million in taxes.
“Congratulations on the windfall, @GovJanetMills…but we’re not sticking with any income tax.”
The amount of applicable federal and state taxes can only be approximated and would vary based on specific circumstances and tax policies. Sununu’s estimate of $40 million is therefore only approximate.
Maine has a tax that collects 5 percent of all lottery winnings, and an income tax of 7.15 percent for those in the top tier—which the winner would fall into.
An analyst with the Maine Center for Economic Policy, James Myall, said on Twitter that he estimated the $52 million tax would cover the cost of about two years of free school meals for Maine students.
By choosing to receive the prize money in a lump sum, winners already score a hit – in this case, it’s reduced from $1.35 billion to $724.6 million
Choosing to receive the prize money in the form of a lump sum gives winners a hit – in this case, it’s reduced from $1.35 billion to $724.6 million. Additionally, federal taxes continue to shrink profits to $455.8 million.
But the winner was at least better off buying the ticket in Maine than in Massachusetts — about 35 miles away — where high taxes would have reduced the prize to around $390 million, according to the Bangor Daily News.
https://www.soundhealthandlastingwealth.com/uncategorized/1-35bn-mega-millions-winner-from-maine-would-have-been-55m-richer-if-they-got-ticket-a-mile-away/?utm_source=rss&utm_medium=rss&utm_campaign=1-35bn-mega-millions-winner-from-maine-would-have-been-55m-richer-if-they-got-ticket-a-mile-away The $1.35 billion Mega Millions winner from Maine would have been $55 million richer if he’d gotten a ticket a mile away