Montana Lottery Tax Calculator

Calculate your take-home winnings after 5.90% Montana state tax and federal taxes.

State Tax Rate

5.90%

Montana Income Tax

Federal Tax Rate

24–37%

24% withheld upfront

Max Combined Rate

42.90%

Federal + state

Montana withholds 5.90% state income tax on lottery prizes above the threshold, in addition to 24% federal withholding. Your maximum combined rate could reach 42.90%.

Enter Your Winnings

$

Lump sum is approximately 55% of the advertised jackpot

Your estimated take-home winnings

$355,503

After 35.36% effective tax rate

Tax Breakdown

Advertised Jackpot
$1,000,000
Lump Sum (55%)

Cash value before taxes

$550,000
Federal Tax (29.46% effective)
-$162,047
Montana Income Tax (5.90%)
-$32,450
Total Tax
-$194,497
Net Winnings
$355,503

Winnings Distribution

Take Home
Federal
State

Frequently Asked Questions — Montana Lottery Taxes

How much tax do I pay on a $1 million lottery win in Montana?

On a $1 million lottery win in Montana, the lump sum cash value is approximately $550,000. Federal withholding is 24% ($132,000) and Montana state tax is 5.90% ($32,450). Your estimated take-home lump sum is approximately $385,550 — though your final federal tax bill may be higher depending on your total income for the year.

Does Montana tax lottery winnings?

Yes. Montana taxes lottery winnings at a 5.90% state income tax rate. This is in addition to federal taxes of 24-37%. The Montana lottery withholds state taxes automatically on prizes above the threshold.

What is the lottery tax rate in Montana?

In Montana, the lottery tax rate is 5.90% at the state level, plus federal taxes of 24-37%. The federal government withholds 24% upfront on prizes over $5,000. Combined, lottery winners in Montana may pay up to 42.90% in total taxes.

Lottery Tax in Montana

Montana imposes a 5.90% state income tax on lottery winnings (Montana Income Tax). This is in addition to federal taxes of up to 37%. Combined, lottery winners in Montana may pay up to 42.90% in total taxes.

The Montana lottery withholds state taxes automatically on prizes over a certain threshold. If you are a non-resident winner, different withholding rates may apply.

Tax Sources & References

Federal withholding rates are based on IRS Topic No. 419 — Gambling Income and Losses. State tax rates are sourced from each state's department of revenue. Official Montana lottery rules and prize information are published on the Montana Lottery official website.

Disclaimer

This calculator provides estimates only and does not constitute tax advice. Actual tax amounts may vary based on your individual circumstances, deductions, and other income. Please consult a qualified tax professional for advice specific to your situation.