winning a car in a raffle taxes

Your CPA sheraton coupon code 2015 or accountant can give you advice that is tailored to your specific situation, which is vital to ensuring that you are properly prepared.
Put Aside the Money for Your Car, Piece by Piece.
So, what are you to do?And, also on line 21, include an amount to reduce the FMV or msrp to the actual price.Again, we both have taxable income equal to the value of what we receive.Marginal tax rates were higher prior to Reagan, and when a contest winner would sell an item for 80 of the value, they often paid most of the proceeds to taxes.And sometimes, the taxes are quite a surprise.After the Sochi Olympics, many of our athletes came home with glittering medals and cash prizes, of 25,000 (gold 15,000 (silver) and 10,000 (bronze awarded by the.S.

Remember that you only need to pay taxes on the Fair Market Value (FMV) of any sweepstakes prize, including a new car.
For simplicity, let's say you're taxed 10 on the car and any other winnings.
They use it all the time, to live in, to entertain, to cook, and to enjoy.How much would these things cost in your neck of the woods?When you sell the car, it would be much like selling any posession, and would cause no tax consequence unless the sale price was much different than the value.They won the makeover to their utter joy.You may get 1 million because your cure for cancer won the Nobel Prize for medicine.Before you decline a car prize because of what you'll have to pay on it, here are eight ways to make those taxes more affordable.Even more expensive: free home remodeling.Paying discount holiday world tickets 2015 thousands of dollars in one hit can be tough, but if you set aside some money in advance every month you might not even notice the loss.So use that information to replace the printout from the Internet.File your tax return on paper and include the attachments.