What are the tax implications of giving gifts arising from a lottery win?

Vanessa

Registered User
Messages
273
I am not in the position of being a Lottery winner but I have a query about it.
I understand that the Lottery winnings are tax free to the winner or winners.
However I often hear winners being interviewed and they say. "Oh I have a lot of family and I will look after them"
Surely there are gift tax implications here and any recipient will be liable once they received funds above the thresholds.
Any thought?
 
There are tax implications for gifts and I spend a lot of time on boring car journeys working out how best to divide up my imaginery lottery winnings between siblings, nieces/nephews, in-laws, even some friends whilst doing the mental sums to see how much extra I would have to give them for tax on the amount above the threshold so that they get the figure I want them to have :) It keeps me alert on long drives!
 
Yes, there are tax implications.
Hence the high number of 'family syndicate' winners. It'd be difficult to prove that the syndicate didn't exist before the win.
Yes indeed. Once they all sign the back of the ticket tax doesnt come into play.
Good financial advice before getting the cheques will sort this.
 
Last edited:
Yes, there are tax implications.
Hence the high number of 'family syndicate' winners. It'd be difficult to prove that the syndicate didn't exist before the win.

Wow, that never dawned on me. I wonder how much acquisitions tax revenue is losing out on annually as a result of this. I imagine one Irish euro millions winner would create a sizeable spike
 
There are tax implications for gifts and I spend a lot of time on boring car journeys working out how best to divide up my imaginery lottery winnings between siblings, nieces/nephews, in-laws, even some friends whilst doing the mental sums to see how much extra I would have to give them for tax on the amount above the threshold so that they get the figure I want them to have :) It keeps me alert on long drives!
I find myself doing that from time to time, especially when there's a lottery-related story in the news. Trouble is I don't partake in the lottery so not sure why I bother!
 
I very seldom do it myself, only when it's big and only if I am in a different town and they don't often coincide :)
 
I do Lotto twice per week, the same numbers since the launch of the game. I've had 5 numbers twice. But, I'll tell ya, if I win the jackpot, the amount of tax to be paid by anybody I'd give a few bob to will be way back of my mind. [My Morning Prayer:- Please This post will be deleted if not edited immediately, let me win the Lotto Jackpot to prove to You that it won't change my life]. The following Saturday I'll go to Confession and confess a lie. Three Hail Marys is not a bad trade for a Jackpot win!
 
Here is latest guidance from revenue On gifts To children
[broken link removed]
 
Last edited:
Surely if you needed to offload, put the cash in suitcases and pass on to the family and close friends.. and a few € for the church roof
 
When I buy a lottery ticket (which is not very often) I put the family (the Murphy family) name on it just in case, hoping that means it can be shared among the family without any losses
 
The simple legal way to avoid tax on lottery winnings is to have all of the "syndicate" members to show up at Lotto HQ with all the documents needed to prove identity, PPSN, address, etc. The "main man" fills out forms allocating funds across the syndicate and each member gets a cheque made out to him/her. The Lottery will make a return to Revenue on this basis, in order to comply with money laundering regs. It would grieve me sorely to think that if I had a win Leo would get a cut from anyone in the "syndicate". My siblings and I have an agreement that we'll split the winning; how it's split will be decide by the ticket purchaser, as we have varying numbers of off-spring.
 
Back
Top