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Old 08-02-2012, 01:49 PM   #12
markem
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Default Re: Go for the Gold....and pay the IRS

Quote:
Originally Posted by Starscream View Post
How are the winnings categorized? Is it considered earned income or prize winnings? Prize winnings is taxed higher than earned income I beleive. I'm an idiot when it comes to this subject, so anyone who knows feel free to correct me.
Don't know, Andy. My accountant has never asked if I had prize winnings (I haven't), so didn't know that there was such a category in the federal code. Have you had to pay a separate federal tax on prize winnings?
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