WISCONSIN LOTTERY TAX · TAX YEAR 2026
Wisconsin lottery tax calculator
Wisconsin taxes lottery winnings as income, at rates from 3.5% to 7.65%. On a $1,000,000 prize with $75,000 of wages, a single filer owes $70,818 of Wisconsin tax and $340,080 of federal income tax, $410,898 in all, and keeps $589,102.
Tax on your prize
- Total tax on the prize
- $410,898.22
- Federal income tax
- $340,080.25
- Wisconsin tax
- $70,817.97
- After-tax prize
- $589,101.78
- Effective rate
- 41.09%
- Federal withholding at 24%
- $240,000.00
- Wisconsin withholding at 7.65% (2026)
- $76,500.00
- Still owed at tax time
- $94,398.22
Wisconsin tax by size of prize
What a single filer with $75,000 of wages owes on a prize, and what Wisconsin withholds from it.
| Prize | Federal tax | State tax | State withholding |
|---|---|---|---|
| $10,000 | $2,200 | $594 | $765 |
| $100,000 | $23,064 | $5,691 | $7,650 |
| $1 million | $340,080 | $70,818 | $76,500 |
| $10 million | $3,670,080 | $759,318 | $765,000 |
Wisconsin lottery tax questions
Does Wisconsin tax lottery winnings?
Yes. Wisconsin taxes lottery winnings as income, at rates from 3.5% to 7.65%.
How much tax is due on a $1,000,000 lottery prize in Wisconsin?
A single filer with $75,000 of wages owes $340,080 of federal income tax and $70,818 of Wisconsin tax on a $1,000,000 prize, $410,898 in all, and keeps $589,102. On a $100,000 prize, Wisconsin tax is $5,691 and federal tax $23,064.
How much is withheld from a Wisconsin lottery prize?
Wisconsin withholds 7.65% of a prize of $2,000 or more for state tax, and federal withholding is 24% of a prize over $5,000. On a $1,000,000 prize, $316,500 is withheld against $410,898 of tax, leaving $94,398 to pay at tax time.
What the calculator leaves out
- Wisconsin allows no deduction for lottery losses.
Federal tax stacks the prize on wages after the 2026 standard deduction and taxes it at the ordinary brackets. Withholding treats the whole prize as winnings, though the IRS tests winnings minus the wager. The calculator takes the cash received this year: a lump sum is taxed in full the year it is paid, and annuity payments are taxed each year as they are received. Gambling losses are left out; only filers who itemize can deduct them, and from 2026 only up to 90% of losses. Tax another state may charge on a ticket bought there is left out.
Sources
- IRS Topic 419, Gambling income and losses
- IRS Instructions for Forms W-2G and 5754
- IRS Publication 505 (2026), Tax Withholding and Estimated Tax
- IRS Revenue Procedure 2025-32: 2026 tax brackets
- Wisconsin Department of Revenue Publication 600 (03/26)
- Wisconsin Lottery: taxes
- 2026 Form 1-ES instructions: rate schedules and standard deduction