If you win the $600 million Powerball, the tax man cometh

According to CNN Money, prize money is taxable income; lottery winnings are taxed just like income, and the IRS taxes the top income bracket However, the

If you live in one of ten states that don't tax lottery winnings, you're probably off the hook for state income taxes They include: Alaska

federal tax on lottery winnings How much exactly depends on your tax bracket, which is based on your winnings and other sources of income, so the IRS withholds only 25% You'll

federal lottery taxes The same is true at the state level While lottery winnings are subject to state income tax in most states, withholding tax varies from zero (