New York tax on lottery and gambling winnings
New York taxes gambling and lottery winnings as income, at rates up to 10.90%. On a $1,000,000 lottery prize to a single filer with no other income the state takes about $65,337, and the winner keeps about $614,662 after federal tax as well.
New York income tax brackets for 2026
| Rate | Single: taxable income | Married filing jointly: taxable income |
|---|---|---|
| 3.90% | over $0 | over $0 |
| 4.40% | over $8,500 | over $17,150 |
| 5.15% | over $11,700 | over $23,600 |
| 5.40% | over $13,900 | over $27,900 |
| 5.90% | over $80,650 | over $161,550 |
| 6.85% | over $215,400 | over $323,200 |
| 9.65% | over $1,077,550 | over $2,155,350 |
| 10.30% | over $5,000,000 | over $5,000,000 |
| 10.90% | over $25,000,000 | over $25,000,000 |
What to know
New York takes back the benefit of its lower brackets at high incomes; for large wins the tax is higher than the brackets alone show. New York City and Yonkers residents also pay a local income tax.
New York 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 New York tax lottery winnings?
Yes, as ordinary income at the state's 2026 rates, up to 10.90%.
How much tax is due on a $1 million prize in New York?
For a single filer with no other income, about $65,337 in state tax and $320,000 in federal tax, leaving about $614,662. 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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