Sheelah Ryan of Winter Springs, won the largest single lottery jackpot in world history to that point, a jackpot of $55.16 million. She was the 10th Florida Lotto winner. However, the Florida Lotto cash option (see below) was still 10 years away.What are the taxes on the Florida Lottery?
The Internal Revenue Service requires that the Florida Lottery withhold 24 percent federal withholding tax from prizes greater than $5,000 if the winner is a citizen or resident alien of the U.S. with a Social Security number. The Florida Lottery is not required to withhold federal withholding taxes from prizes for $5,000 or less.