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.

    Arkansas Powerball & Mega Millions Jackpots After Taxes

    What each jackpot leaves after federal and Arkansas tax, as one cash payment or paid yearly.

    Powerball

    Jackpot
    $538M
    Cash value
    $220.6M
    Federal + state tax
    $89.7M
    You keep
    About $130.9M

    Mega Millions

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

    Lotto

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

    Natural State Jackpot

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

    Federal tax at the 2026 rates for a single filer with no other income and Arkansas's 3.7% tax.

    Play scratch-offs too?Up to x31.3 better jackpot odds

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

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    Arkansas Lottery Tax Calculator

    Type your prize to see what's withheld when it's paid and what you're handed.

    $
    PrizeWithheld at claimPaid to you
    $1,000Nothing$1,000
    $5,000Nothing$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%

    Graduated: what you owe depends on your income, on top of federal tax.

    Withheld when you're paid 

    24% federal + 3.7% state over $5,000

    Smaller prizes are paid in full.

    Top federal rate 

    37% over $640,600

    $768,700 for married filing jointly. A jackpot owes most of its tax at this rate, more than the 24% withheld.

    Reported to the IRS 

    Prizes of $2,000 or more

    On Form W-2G, from 2026; it was $600 before.

    Cash or annuity 

    Choose within 60 days of claiming the prize

    Cash is one smaller payment. The annuity pays the full jackpot yearly: 30 years for Powerball and Mega Millions.

    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
    The ScratchOdds app: today's best scratch-offs and the goal picker

    More Arkansas Lottery Help

    What each game pays, the best scratch-offs, and taxes in other states.

    Frequently Asked Questions

    Answers about the Arkansas Lottery

    Does Arkansas tax lottery winnings?
    Yes. Arkansas taxes lottery winnings at up to 3.7%, and federal income tax applies too.
    What is the Arkansas lottery tax rate?
    Arkansas taxes lottery winnings at up to 3.7%, on top of federal income tax. 24% federal and 3.7% state tax are withheld from prizes over $5,000; smaller prizes are paid in full.
    How much tax do you pay on a $1,000 lottery ticket in Arkansas?
    Nothing is withheld: the Arkansas Lottery pays the full $1,000. The prize is still taxable income, taxed at your federal rate when you file: from 10% to 37%, depending on your income. Arkansas taxes it too, at up to 3.7%.
    How much tax do you pay on a $10,000 lottery ticket in Arkansas?
    The Arkansas Lottery withholds $2,770 and pays you $7,230. The prize is still taxable income, taxed at your federal rate when you file: from 10% to 37%, depending on your income. Arkansas taxes it too, at up to 3.7%.
    How much tax do you pay on $1 million in lottery winnings in Arkansas?
    The Arkansas Lottery withholds $277,000 and pays you $723,000. The prize is still taxable income, taxed at your federal rate when you file: from 10% to 37%, depending on your income. Arkansas taxes it too, at up to 3.7%.
    How much are lottery winnings taxed?
    Lottery winnings are taxed as income. Federal rates run from 10% to 37%, and in 2026 the top rate starts at $640,600 for a single filer and $768,700 for a married couple filing jointly. What's withheld when you're paid is a down payment: on a large prize, you'll likely owe more when you file.
    Do you get a W-2G for lottery winnings?
    Yes, for prizes of $2,000 or more: the lottery reports them to the IRS on Form W-2G. The threshold was $600 before 2026. Smaller prizes are still taxable income you report.
    How much is the Powerball jackpot after taxes in Arkansas?
    The next Powerball jackpot is an estimated $538 million, or $220.6 million as one cash payment. After federal tax and Arkansas's 3.7%, the cash leaves a single winner about $130.9 million. Taken as 30 yearly payments, it pays about $320.5 million after taxes in all.
    How much is the Mega Millions jackpot after taxes in Arkansas?
    The next Mega Millions jackpot is an estimated $385 million, or $154.8 million as one cash payment. After federal tax and Arkansas's 3.7%, the cash leaves a single winner about $91.8 million. Taken as 30 yearly payments, it pays about $229.8 million after taxes in all.
    How much is the Lotto jackpot after taxes in Arkansas?
    The next Lotto jackpot is an estimated $2.8 million, paid as one cash payment. After federal tax and Arkansas's 3.7%, the cash leaves a single winner about $1.7 million.
    What is the difference between the cash option and the annuity?
    The cash option is one payment, smaller than the advertised jackpot: the next Powerball jackpot's is 41% of it, all taxed in one year. The annuity pays the full jackpot in 30 yearly payments, each 5% larger than the last, each taxed in the year it's paid. In Arkansas, you choose within 60 days of claiming the prize.
    Are scratch-off winnings taxed in Arkansas?
    Yes, the same as draw game prizes: scratch-off winnings are taxable income, and 24% federal and 3.7% state tax are withheld from prizes over $5,000. Arkansas taxes them at up to 3.7%.

    Still have questions? Email our support team

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