The Powerball jackpot has climbed to an estimated $332 million for Wednesday night’s drawing after no ticket matched all six winning numbers in Monday’s draw. If someone hits the jackpot on Wednesday, the lucky winner will have two payout options: receive the full $332 million through an annuity paid over 30 years, or choose a one-time lump-sum payment of $141.7 million. However, the winner would not actually take home either of those advertised amounts. Like other major lottery prizes in the United States, Powerball winnings are subject to taxes. A jackpot winner would have to pay federal income tax, while additional state and local taxes could also apply depending on where the winning ticket was purchased and where the winner lives.
