State Lottery Commission

Lottery winnings are considered taxable income for both federal and state taxes · Federal tax rates vary based on your tax bracket, with rates up to 37%

Lottery winnings over $5,000 are subject to both federal and state income tax withholding—this is, part of your winnings are automatically paid

arizona lottery official site Lottery agencies are generally required to withhold 24% of all winnings over $5,000 for taxes If your winnings put you in a higher tax bracket,

arizona lottery apps Lottery was established by the State Legislature in 1971 , but it was not until 1972 that its first game went on sale This delay in implementing the tax