Does New York tax lottery winnings?
Yes. New York taxes lottery prizes as ordinary income, at rates up to 10.9% in 2026. New York withholds state tax at the year's highest rate, 10.9% in 2026. For a large prize, that covers most of the state tax you will owe.
Source: New York Publication 140-W, checked October 1, 2026.
New York City and Yonkers residents also pay city tax, and the lottery withholds it when the prize is paid. Choose your city in the calculator above to include it.
Why multiplying every prize by 10.9% can mislead
At $1 million of income, the single-filer standard deduction leaves $992,000 taxable. The 2026 worksheet gives $12,141 + ($992,000 − $215,400) × 6.85% + $567 + $2,047 = $67,952.10, rounded to $67,952. Above $25 million of New York adjusted gross income, the official worksheet instead applies 10.9% to all taxable income. The calculator includes both rules, using tax with the prize minus tax without it. New York City and Yonkers add separate taxes; dependent exemptions and credits are omitted.
For comparison, a $10,000 cash prize on top of $60,000 of other income adds $1,550 in federal tax and $540 in modeled New York tax, leaving $7,910 from the prize outside NYC and Yonkers. The estimate subtracts tax on the existing income so that only the prize’s additional tax is charged.
Illustrative 2026 calculation, not a reported payout. Rule source. Model assumptions and corrections.
New York Powerball payout after state and city tax
A single winner living in New York who takes the cash option on the $674 Million Powerball jackpot keeps about $147,962,772, after about $104,993,000 in federal tax and $30,944,228 in New York tax. Recalculated daily.
| Game | New York tax (lump sum) | Lump sum take-home | Annuity take-home (30 payments) |
|---|---|---|---|
| Powerball$674 Million jackpot · $283.9 Million cash | $30,944,228 | $147,962,772 | $354,538,086 |
| Powerball in New York CityAdds New York City tax | $41,947,757 | $136,959,243 | $328,426,900 |
| Mega Millions$443 Million jackpot · $186.5 Million cash | $20,327,628 | $97,217,372 | $234,664,305 |
| Mega Millions in New York CityAdds New York City tax | $27,555,933 | $89,989,067 | $217,506,680 |
How much is $1 million after taxes in New York?
About $612,048. A single filer with no other income pays about $320,000 in federal tax and $67,952 in New York tax on a $1,000,000 prize. When you claim, $349,000 is withheld, and the rest of the tax is due when you file.
| Prize (cash) | Federal tax | New York tax | Take-home |
|---|---|---|---|
| $1,000,000 | $320,000 | $67,952 | $612,048 |
| $2,000,000 | $690,000 | $192,228 | $1,117,772 |
| $10,000,000 | $3,650,000 | $1,029,176 | $5,320,824 |
| $100,000,000 | $36,950,000 | $10,899,128 | $52,150,872 |
| $1,000,000,000 | $369,950,000 | $108,999,128 | $521,050,872 |
Lump sum, single filer with no other income, 2026 federal and New York rates, outside New York City and Yonkers. A $2,000,000 prize is the Powerball or Mega Millions match-5 prize with the multiplier. Smaller prizes and other states: lottery winnings after taxes by amount.
Claiming in New York: one year to claim, 60 days to choose cash
- A New York draw-game prize claim is not valid after one year from the draw date (9 NYCRR 5004.14).
- A New York jackpot winner must elect the annuity or the lump sum no later than 60 days after becoming entitled to the prize; without an election, the prize is paid as an annuity, and an election cannot be changed later without the commission's approval (9 NYCRR 5002.14).
Can you stay anonymous in New York?
No. Individual winner name and city are public. An entity claim does not itself guarantee privacy; obtain advice before claiming (source). The guide to what to do if you win the lottery compares the rules in every state.
New York compared with neighboring states
$674 Million Powerball jackpot, lump sum, by state of residence. Every neighbor does better: a winner living in Pennsylvania keeps $22,228,498 more than a New York resident.
| State of residence | State & local tax | Lump sum take-home |
|---|---|---|
| Pennsylvania | $8,715,730 | $170,191,270 |
| Connecticut | $19,840,910 | $159,066,090 |
| Vermont | $24,835,576 | $154,071,424 |
| Massachusetts | $25,507,674 | $153,399,326 |
| New Jersey | $30,486,326 | $148,420,674 |
| New York | $30,944,228 | $147,962,772 |
Hypothetical residence-tax comparison only. Tax imposed by the ticket-selling state and credits for tax paid elsewhere are excluded; this is especially important for residents of states without lottery sales. Taxes on lottery winnings explains what happens when you buy in another state.
Estimates for a single filer with no other income unless noted. Formulas and sources: methodology. Every state's rates: lottery tax by state.