Ohio Lottery
Ohio Lottery Tax Calculator
Ohio switched to a single 2.75% income tax rate for 2026, and the Ohio Lottery’s state withholding fell to 2.75% for calendar 2026 to match.
Verified · tax year 2026
Ohio prize — results
Take-home
65.3% kept of $1,000,000
Annuity · 30 payments
Year 1 — → year 30 —
| Cash received | $1,000,000 |
|---|---|
| Federal income tax | −$320,000 |
| Tax to Ohio | $0 |
| Ohio tax | −$27,116 |
| Local income tax | $0 |
| You keep | $652,884 |
| Federal withholding (24%) | −$240,000 |
|---|---|
| State withholding | −$27,500 |
| Check you receive | $732,500 |
| Still owed when you file | $79,616 |
Data: IRS Rev. Proc. 2025-32 · state agencies, verified · what this leaves out
The 2026 formula
Ohio Revised Code § 5747.02 now taxes nothing on the first $26,050 of Ohio income after exemptions and, above that, $332 plus 2.75% of the excess. The second bracket that reached 3.125% in 2025 is gone. A $1,000,000 prize to a filer with no other income produces $27,116 of Ohio tax. Section 5747.062 sets Lottery withholding at 2.75% of every prize payment the IRS requires to be reported, or $27,500 on this prize.
City tax is separate
Many Ohio municipalities levy their own income tax, and whether one reaches a resident’s gambling and lottery winnings depends on that city’s ordinance. So enter your municipal rate in the calculator if your city taxes winnings. Ohio Lottery sports-gaming prizes are withheld when over $600 and 300 times the bet, and those tickets must be cashed within 180 days of the last event.
Ohio at a glance
| State income tax on winnings | Up to 2.75% |
|---|---|
| Rate table used | 2026 and thereafter (ORC 5747.02) |
| Lottery | Ohio Lottery |
| State withholding at claim | 2.75% at $2,000+ |
| Local tax | Ohio municipal (city) income tax rate, if your city taxes winnings |
What Ohio winners should know
- From 2026 Ohio has a single rate: nothing on the first $26,050, then $332 plus 2.75% of the excess.
- The Ohio Lottery’s state withholding fell to 2.75% for calendar 2026 to match the new rate.
- Many Ohio cities levy their own income tax; enter your city’s rate if it reaches lottery winnings.
Ohio sources
- Ohio Revised Code § 5747.02 — Ohio Legislature
- Ohio Revised Code § 5747.062 — Ohio Legislature
- Instructions for Forms W-2G and 5754 (Rev. January 2026) — Internal Revenue Service
Agency: Ohio Department of Taxation. † read through a browser session (why). How the math works.
Neighboring states
Indiana · Kentucky · Michigan · Pennsylvania · West Virginia