I won $180,622 from a Bad Beat Jackpot in Atlantic City, New Jersey. What will taxes be like?

Answers:1   |   LastUpdateAt:2012-08-11 19:53:03  

Asked at 2012-08-11 02:26:02
I am a student of 21 years with the university $ 54,000 in student loan debt that currently bear interest at rates of 6.8% and 7.6% respectively. I had recently won a jackpot of poker hit the Bad Harrah Resort & Casino in Atlantic City, New Jersey, for $ 180,622.00. They did not retain any of the proceeds and gave me all the money, $ 178,000 in checks and $ 2,622 in cash. What will the federal tax in New Jersey and as this? If this account just as the tax base, I thought it would cost $ 44,722.01 - about $ 41,000 for the tax bracket and 33% of the amount over $ 171,000. I have no idea what the tax is NJ. Is this true or not actually deduct more than the standard rate of income tax from gambling winnings? I'm trying to pay my debts from school, the plan of graduate school, buy my first car, and help my parents with their mortgage, but I wanted to play it safe and be sure the cost of all.

Some additional details:

- I won the January 15, 2010.

'I've been playing but have not been recording my game losses - something I never thought would happen.

- I live in New Jersey, which could mean taxes will be?

- Should I hire a tax professional?

I'm not sure what counts as deductive, but do not own cars or property. I can pay the monthly interest on loans for school, even me. Also, I've been a person in charge of my mother before.

- 6.8% and 7.6% are private state loans, not federal. Fed loan will bear an interest rate much lower. Also, I've been paying the interest of my private loans, so maybe those are deductible?

Can anyone give me some information? Thank you very much for your time and help.
Answer1VernAnswered at 2012-08-11 19:53:03
Go see a tax professional . It can cost up to hundreds of dollars, but you are going to make every penny back in the use of tax loopholes .
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