Arkansas (AR) Lottery
Tax & Payout Calculator
Arkansas taxes lottery winnings at up to 3.7%, and federal income tax applies too. 24% federal and 3.7% state tax are withheld from prizes over $5,000. Taken as cash, the next $538 million Powerball jackpot leaves an Arkansas winner about $130.9 million.
Does Arkansas Tax Lottery Winnings?
Yes, up to 3.7%. Federal tax applies too: 24% federal and 3.7% state tax are withheld from prizes over $5,000.
Arkansas Powerball & Mega Millions Jackpots After Taxes
What each jackpot leaves after federal and Arkansas tax, as one cash payment or paid yearly.
- Jackpot
- $538M
- Cash value
- $220.6M
- Federal + state tax
- $89.7M
- You keep
- About $130.9M

Powerball
- Jackpot
- $385M
- Cash value
- $154.8M
- Federal + state tax
- $63M
- You keep
- About $91.8M

Mega Millions
- Jackpot
- $2.8M
- Cash value
- $2.8M
- Federal + state tax
- $1.1M
- You keep
- About $1.7M

Lotto
- Jackpot
- $90K
- Cash value
- $90K
- Federal + state tax
- $24.9KWithheld
- You keep
- $65.1KAfter withholding

Natural State Jackpot
- Jackpot
- $538M
- Paid yearly
- $8.1M to $33.3M a year30 payments, each 5% larger
- Federal + state tax
- $217.5MOver 30 years
- You keep
- About $320.5MOver 30 years

Powerball
- Jackpot
- $385M
- Paid yearly
- $5.8M to $23.9M a year30 payments, each 5% larger
- Federal + state tax
- $155.2MOver 30 years
- You keep
- About $229.8MOver 30 years

Mega Millions
Federal tax at the 2026 rates for a single filer with no other income and Arkansas's 3.7% tax.
Each payment is taxed in the year it's paid, at the 2026 rates and Arkansas's 3.7% tax.
For $50K to $1M+ jackpots on the best Arkansas scratch-offs. ScratchOdds ranks all 52 by today's odds.
For $50K to $1M+ jackpots on the best Arkansas scratch-offs.

For $50K to $1M+ jackpots on the best Arkansas scratch-offs. ScratchOdds ranks all 52 by today's odds.
For $50K to $1M+ jackpots on the best Arkansas scratch-offs.

Arkansas Lottery Tax Calculator
Type your prize to see what's withheld when it's paid and what you're handed.
| Prize | Withheld at claim | Paid to you |
|---|---|---|
| $1,000 | Nothing | $1,000 |
| $5,000 | Nothing | $5,000 |
| $10,000 | $2,770 | $7,230 |
| $50,000 | $13,850 | $36,150 |
| $100,000 | $27,700 | $72,300 |
| $1,000,000 | $277,000 | $723,000 |
Every prize is taxable income. From $2,000 the lottery reports it to the IRS, and your final federal tax depends on your income, from 10% to 37%.
Good to Know
Arkansas tax on winnings
Up to 3.7%
Withheld when you're paid
24% federal + 3.7% state over $5,000
Top federal rate
37% over $640,600
Reported to the IRS
Prizes of $2,000 or more
Cash or annuity
Choose within 60 days of claiming the prize
Reviewed by Bishop Woosley, former Director of the Arkansas Scholarship Lottery and NASPL President.

You can't change the lottery's odds.
You can pick better scratch-offs.
The best Arkansas scratch-offs right now have up to x31.3 better jackpot odds for $50K to $1M+ jackpots.
Every Arkansas scratch-off ranked by today's odds
The best tickets for your budget and the prize you want
A free app, built on official Arkansas Lottery data

More Arkansas Lottery Help
What each game pays, the best scratch-offs, and taxes in other states.
Arkansas Scratch-Offs
Frequently Asked Questions
Answers about the Arkansas Lottery
Does Arkansas tax lottery winnings?
What is the Arkansas lottery tax rate?
How much tax do you pay on a $1,000 lottery ticket in Arkansas?
How much tax do you pay on a $10,000 lottery ticket in Arkansas?
How much tax do you pay on $1 million in lottery winnings in Arkansas?
How much are lottery winnings taxed?
Do you get a W-2G for lottery winnings?
How much is the Powerball jackpot after taxes in Arkansas?
How much is the Mega Millions jackpot after taxes in Arkansas?
How much is the Lotto jackpot after taxes in Arkansas?
What is the difference between the cash option and the annuity?
Are scratch-off winnings taxed in Arkansas?
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