The Mega Tens of millions jackpot grew to greater than $1.6 billion on Aug. 9, 2023.Justin Sullivan | Getty ImagesState taxes might be hefty”None of those winners take into consideration taxes till they’ve a 3rd of it going proper to Uncle Sam and the state authorities,” stated Andrew Stoltmann, a Chicago-based lawyer who has represented a number of lottery winners.None of those winners take into consideration taxes till they’ve a 3rd of it going proper to Uncle Sam and the state authorities.Eight states — together with California, Florida, New Hampshire, South Dakota, Tennessee, Texas, Washington and Wyoming — do not levy revenue taxes on lottery winnings.Nonetheless, it’s essential to redeem the successful ticket within the state the place you got it, which means an out-of-state buy in a high-tax state might set off an even bigger invoice.However the annuity payout might save on future state taxes, relying on the place you select to dwell, Stoltmann stated. The annuity consists of an preliminary sum adopted by 29 annual funds.Signal and safe the ticketLottery winners have a set timeline to return ahead and acquire their cash — and a few prizes have gone unclaimed.”Signal your ticket, take pictures and scans after which safe it,” stated Michael Whitty, associate at legislation agency Smith, Gambrell and Russell, who has additionally suggested previous lottery winners.Mega Tens of millions says it is important to “shield your self” by signing the again of your ticket. In any other case, anybody who holds the successful ticket can file a declare to gather the proceeds.Alternatively, there could also be methods to guard your privateness by claiming the prize cash through a belief or restricted legal responsibility company. Regardless, you need to seek the advice of an lawyer first.Keep away from a ‘authorized catfight’ on shared ticketsYou might even have successful ticket points when pooling cash with mates or co-workers, in response to Stoltmann.”The nastiest authorized catfights occur when a bunch of individuals purchase a ticket collectively” and one individual claims they purchased the successful ticket alone, he stated.It’s best to at all times have a “fundamental written settlement” that outlines who bought the tickets, the numbers on these shared tickets and the way the group will cut up the cash if there is a winner, Stoltmann stated.Mega Tens of millions is not the one approach to win huge. The Powerball jackpot has ballooned to an estimated $800 million with no huge winner from Saturday evening’s drawing. The possibilities of scoring the grand prize for that recreation are roughly 1 in 292 million.Don’t miss these tales from CNBC PRO: