District of Columbia tax on lottery and gambling winnings

District of Columbia taxes gambling and lottery winnings as income, at rates up to 10.75%. On a $1,000,000 lottery prize to a single filer with no other income the state takes about $89,955, and the winner keeps about $590,044 after federal tax as well.

District of Columbia income tax brackets for 2026

District of Columbia income tax brackets for 2026 (Tax Foundation)
RateSingle: taxable incomeMarried filing jointly: taxable income
4.00%over $0over $0
6.00%over $10,000over $10,000
6.50%over $40,000over $40,000
8.50%over $60,000over $60,000
9.25%over $250,000over $250,000
9.75%over $500,000over $500,000
10.75%over $1,000,000over $1,000,000

What to know

District of Columbia taxes its residents on winnings from anywhere. If you won in another state as a non-resident, that state may tax the prize too, and your home state usually gives a credit for it. The federal tax is the same everywhere: see the 2026 federal rules, or compare every state.

Questions

Does District of Columbia tax lottery winnings?

Yes, as ordinary income at the state's 2026 rates, up to 10.75%.

How much tax is due on a $1 million prize in District of Columbia?

For a single filer with no other income, about $89,955 in state tax and $320,000 in federal tax, leaving about $590,044. The federal withholding of 24% covers only part of it.

State brackets from the Tax Foundation, federal from the IRS, 2026. Estimates, not tax advice. Methodology.

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