CheckOfficial Hoosier Lottery Data

    Indiana (IN) Lottery
    Tax & Payout Calculator

    Indiana taxes lottery winnings at 2.95%, and federal income tax applies too. 2.95% state tax is withheld from prizes over $1,200, plus 24% federal tax from prizes over $5,000. Taken as cash, the next $538 million Powerball jackpot leaves an Indiana winner about $132.5 million.

    Indiana Powerball & Mega Millions Jackpots After Taxes

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

    Powerball

    Jackpot
    $538M
    Cash value
    $220.6M
    Federal + state tax
    $88.1M
    You keep
    About $132.5M

    Mega Millions

    Jackpot
    $385M
    Cash value
    $154.8M
    Federal + state tax
    $61.8M
    You keep
    About $93M

    Powerball Xs & Os

    Jackpot
    $1.5M
    Cash value
    $1.5M
    Federal + state tax
    $549.3K
    You keep
    About $950.7K

    Hoosier Lotto

    Jackpot
    $1.2M
    Cash value not published.

    Cash 5

    Jackpot
    $80K
    Cash value
    $80K
    Federal + state tax
    $21.6KWithheld
    You keep
    $58.4KAfter withholding

    Federal tax at the 2026 rates for a single filer with no other income and Indiana's 2.95% tax.

    Play scratch-offs too?Up to x42.9 better jackpot odds

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    Hoosier 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
    $5,000$147.50$4,852.50
    $10,000$2,695$7,305
    $50,000$13,475$36,525
    $100,000$26,950$73,050
    $1,000,000$269,500$730,500

    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

    Indiana tax on winnings 

    2.95%

    A flat rate, on top of federal tax.

    Withheld when you're paid 

    2.95% state over $1,20024% federal + 2.95% 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, Mega Millions and Hoosier Lotto.

    Reviewed by Bishop Woosley, former Director of the Arkansas Scholarship Lottery and NASPL President.

    You can't change the lottery's odds.
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    The best Indiana scratch-offs right now have up to x42.9 better jackpot odds for $50K to $1M+ jackpots.

    • Every Indiana scratch-off ranked by today's odds
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    More Hoosier Lottery Help

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

    Frequently Asked Questions

    Answers about the Hoosier Lottery

    Does Indiana tax lottery winnings?
    Yes. Indiana taxes lottery winnings at 2.95%, and federal income tax applies too.
    What is the Indiana lottery tax rate?
    Indiana taxes lottery winnings at 2.95%, on top of federal income tax. 2.95% state tax is withheld from prizes over $1,200, plus 24% federal tax from prizes over $5,000; smaller prizes are paid in full.
    How much tax do you pay on a $1,000 lottery ticket in Indiana?
    Nothing is withheld: the Hoosier 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. Indiana taxes it too, at 2.95%.
    How much tax do you pay on a $10,000 lottery ticket in Indiana?
    The Hoosier Lottery withholds $2,695 and pays you $7,305. The prize is still taxable income, taxed at your federal rate when you file: from 10% to 37%, depending on your income. Indiana taxes it too, at 2.95%.
    How much tax do you pay on $1 million in lottery winnings in Indiana?
    The Hoosier Lottery withholds $269,500 and pays you $730,500. The prize is still taxable income, taxed at your federal rate when you file: from 10% to 37%, depending on your income. Indiana taxes it too, at 2.95%.
    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 Indiana?
    The next Powerball jackpot is an estimated $538 million, or $220.6 million as one cash payment. After federal tax and Indiana's 2.95%, the cash leaves a single winner about $132.5 million. Taken as 30 yearly payments, it pays about $324.6 million after taxes in all.
    How much is the Mega Millions jackpot after taxes in Indiana?
    The next Mega Millions jackpot is an estimated $385 million, or $154.8 million as one cash payment. After federal tax and Indiana's 2.95%, the cash leaves a single winner about $93 million. Taken as 30 yearly payments, it pays about $232.7 million after taxes in all.
    How much is the Powerball Xs & Os jackpot after taxes in Indiana?
    The next Powerball Xs & Os jackpot is an estimated $1.5 million, paid as one cash payment. After federal tax and Indiana's 2.95%, the cash leaves a single winner about $951,000.
    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 Indiana, you choose within 60 days of claiming the prize.
    Are scratch-off winnings taxed in Indiana?
    Yes, the same as draw game prizes: scratch-off winnings are taxable income, and 2.95% state tax is withheld from prizes over $1,200, plus 24% federal tax from prizes over $5,000. Indiana taxes them at 2.95%.

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