Quote:
Originally Posted by YOLOSWAG420
ok what about for tax purposes the jackpot is paid out in full
taxes are the winners responsibilities
the staker insists on splitting the full payout before taxes are taken out
would it be fair if the payout is split once taxes are accounted for?
There's a form the IRS has that you submit to indicate when something like this is split. The thing about taxes is that let's say the BBJ was 50k, and you each got 25k pretax. Depending on your other income, deductions, etc one of you could very well pay more taxes because you might have a higher marginal tax rate. For example, if you make 15k a year, and add 25k to that, you pay a certain amount on that additional 25k. But if your staker makes 150k per year, and then adds 25k on top of that, he will end up paying more tax on it because additional income is at a higher rate than you.
So you really should split it pretax, and have each person file his own.