As the Mega Millions jackpot grows to a record $540 million, those buying tickets are not the only ones with dreams about what a win could mean. State governments facing hard times understand a local winner would bring a bonus tax to the home state.
The taxes on the lump-sum payment option to any single winner would bring several million dollars of revenue to the state. That revenue in could restore the entire cuts being faced by social services programs, pay for several hundred low-income housing units and help to increase the number of state police.
The sale of … Read more at 2011 Tax.