JackpotTaxCalc

Oregon Lottery

Oregon Lottery Tax Calculator

Oregon withholds 8% for the state on every lottery prize of $1,500 or more, but taxes income above $125,000 at 9.9% — so a large Oregon win leaves almost two percent more to pay.

Verified · tax year 2026

Year, deductions and advanced

Oregon prize — results

Take-home

$1,905

95.3% kept of $2,000

Annuity · 30 payments

—

Year 1 — → year 30 —

Your prize, itemized
Cash received$2,000
Federal income tax$0
Oregon tax−$95
You keep$1,905
At the claim window
Federal withholding (24%)$0
State withholding−$160
Check you receive$1,840
Still owed when you file−$65

    Data: IRS Rev. Proc. 2025-32 · state agencies, verified · what this leaves out

    State tax starts at $1,500

    Since a state law change effective January 1, 2018, the Oregon Lottery automatically withholds 8% Oregon tax from prizes of $1,500 or more. A $2,000 prize pays $1,840: $160 is held for Oregon and nothing for the IRS, because federal withholding begins only above $5,000. Video Lottery prizes get the 8% state withholding but no federal withholding at any size.

    Big prizes meet the 9.9% bracket

    Oregon’s 2026 withholding formulas put the brackets at 4.75% up to $4,550, 6.75% to $11,400, 8.75% to $125,000 and 9.9% above (married $9,100, $22,800 and $250,000). On a $1,000,000 prize Oregon tax is $97,244 against $80,000 withheld. Non-resident aliens face 30% federal withholding on every prize.

    Oregon at a glance

    State income tax on winningsUp to 9.9%
    Rate table used2026 (DOR withholding formulas)
    LotteryOregon Lottery
    State withholding at claim8% at $1,500+

    What Oregon winners should know

    Oregon sources

    1. Oregon Withholding Tax Formulas 2026 (150-206-436, rev. 12-31-25) — Oregon Department of Revenue
    2. Claim a Prize — Tax and Payout Information — Oregon Lottery †

    Agency: Oregon Department of Revenue. † read through a browser session (why). How the math works.

    Neighboring states

    California · Idaho · Nevada · Washington