The IRS is always waiting for taxpayers to have windfalls as the tax on these one-time events is significant. Lottery winnings are no exception, as they are treated as income from gambling and subject to ordinary income tax rates, which can be as high as 38% or more depending on the amount won. But what…
Category: Capital vs. Ordinary
Capital vs. Ordinary
Understanding the difference between capital and ordinary gains or losses is key to minimizing your tax burden. Let us help you sort through the complexities. Give us a call to see how we can help, (713) 909-4906.