A Powerball jackpot bought in Oregon is taxed at 9.9% at the state level, among the highest in the country. On today's $674,000,000 jackpot that is about $28,104,991 to Oregon, leaving $150,794,953 from the $283,888,800 cash option.
Oregon has no sales tax but one of the highest income tax rates in the country at 9.9%, and lottery prizes are fully taxable. Oregon has no local income tax.
Calculate your take-home
Oregon Powerball payout after tax
| Line | Lump sum | Annuity (30 payments) |
|---|---|---|
| Advertised jackpot | $674,000,000 | $674,000,000 |
| Amount paid out before tax | $283,888,800 | $674,000,000 |
| Federal tax (37% bracket) | −$104,988,856 | −$247,880,007 |
| Oregon tax (9.9%) | −$28,104,991 | −$66,726,000 |
| You keep | $150,794,953 | $359,393,992 |
| Share of the advertised jackpot | 22.4% | 53.3% |
Built from today's live cash value ($283,900,000). Single filer, standard deduction, no other income.
How Oregon taxes lottery winnings
Oregon uses a graduated income tax, and lottery prizes are ordinary income — not capital gains, not a special category. Because a jackpot is far above the highest bracket threshold, the effective state rate on the prize is the top rate, 9.9%.
- Oregon withholds 8% at payout against a 9.9% liability.
- Oregon takes the largest share of a jackpot of any West Coast state, since California and Washington tax their own lottery prizes at zero.
Three prizes, worked out for Oregon
| Prize | Cash value | Federal | Oregon | You keep |
|---|---|---|---|---|
| $1M | $421,200 | −$110,554 | −$41,699 | $268,947 |
| $10M | $4,212,000 | −$1,508,440 | −$416,988 | $2,286,572 |
| Current jackpot ($674M) | $283,888,800 | −$104,988,856 | −$28,104,991 | $150,794,953 |
Smaller prizes are worth checking against your own bracket: below roughly $640,600 of taxable income the federal rate is 35% or less, so the flat 37% used here overstates the bill on smaller wins.
If you live in Oregon but buy elsewhere
Lottery income is generally taxed by the state where the ticket was purchased, and again by your state of residence, with a credit for tax paid to the first state. That credit is usually capped at the home state's own rate, so a higher-tax home state still collects the difference.
That matters in Oregon because Washington and California are next door with no tax on a home-state ticket. Crossing the border to buy does not make the prize tax-free for a Oregon resident — it just adds a second state to the paperwork.
Residency is decided by facts — where you spend the year, where you vote, where your home is — not by the address you write on the claim form. Moving after the win does not retroactively change the state that taxes the prize.
Compare Oregon with its neighbours
| State | Rate on a jackpot | Take-home (lump sum) | Difference |
|---|---|---|---|
| Oregon | 9.9% | $150,794,953 | — |
| Washington | 0% | $178,899,944 | +$28,104,991 |
| California | 0% | $178,899,944 | +$28,104,991 |
| Idaho | 5.3% | $163,853,837 | +$13,058,885 |
All 46 jurisdictions are listed in the state tax index and the full rate table.
Frequently asked
Does Oregon tax Powerball winnings?
Yes. Oregon treats a Powerball jackpot as ordinary income and taxes it at 9.9% at the top marginal rate. On the current $674M jackpot that is about $28,104,991 on a lump-sum claim.
How much would I keep from the current jackpot in Oregon?
About $150,794,953 on the cash option ($283,888,800), or about $359,393,992 if you take the 30-payment annuity and stay in Oregon for all of it. Both figures are before any local tax, professional fees or other income.
Do I pay Oregon tax if I buy the ticket in another state?
Usually yes. Oregon taxes residents on worldwide income, so a prize won in a no-tax state such as Washington is still Oregon income. You would generally claim a credit for tax withheld by the state where you bought the ticket, but the credit rarely covers the full 9.9%.
Can I claim anonymously in Oregon?
Anonymity rules are set by the state lottery, not the tax code, and they change. Some states let a trust or LLC claim in place of the individual; others publish the winner's name regardless. Check the Oregon lottery claim rules before you sign the back of the ticket.