I know that on Price, winnings are subject to federal tax and California state tax, since the prize was won in California. Out-of-state winners are encouraged to talk to their accountants about how to avoid paying their own state's income tax on their winnings, since they've already paid California tax.
(Which leads me to wonder... if you're a contestant on Wheel when they tape in, say, Florida, are the winnings still subject to California tax as opposed to Florida tax?)
[quote name=\'sshuffield70\' post=\'125234\' date=\'Jul 26 2006, 12:02 PM\']What about all those Canadians who come down here to win tax free dough?[/quote]
They also have to pay U.S. federal and California taxes.
[quote name=\'uncamark\' post=\'125226\' date=\'Jul 26 2006, 11:26 AM\']but is there any show out there these days besides "Playmania" where the minimum winnings are *under* $600?[/quote]
On Price, you could win a sub-$600 One Bid and then lose your pricing game. If a Family Feud family loses Fast Money, each member will receive less than $600. But that's all I can think of.
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Scott Robinson
(Okay, in theory, Millionaire could have a sub-$600 winner, but really...)