GT-R raffle

ChrisSlicks · 10-01-2010, 09:10 AM

Quote:

Originally Posted by Cunnos

Yea they sell one car a year to the charity.....all the details are listed on the site. They prolly get a nice tax break doing this type of stuff......i hope i win this.....everyone says I should sell the car if I win.....someone at my work said I would have to pay a huge tax on this car if I won it??? Not the excise tax but the actual tax for winning the car, does anyone know anything about this???

Yes, the Federal Tax law states that the prize is to be considered income, so it gets listed on your 1040 return. For big prizes (usually cash prizes) they withhold 25% on your behalf and make that payment to the IRS for you. For an expensive car like this it would cost you $20K to keep it, and another $5K to register it in MA. So your "free" car ends up costing you almost as much as a new Z. Still beats paying $80K.