In July, a Mexican citizen won a $1.325 million jackpot from the Texas lottery. When the news broke, multiple people in the comments section of a Facebook post about the win wondered whether a non-U.S. citizen could win the lottery.
One user wrote, “I thought u had to be a us resident to win?,” while another commenter claimed the winner won’t have to pay taxes since they aren’t from the United States.
THE QUESTION
Can noncitizens claim lottery prizes?
THE SOURCES
VERIFY analysis of all state lottery commission policies and laws
THE ANSWER
Yes, noncitizens can claim lottery prizes.
WHAT WE FOUND
Noncitizens are eligible to play and win the lottery in the U.S., according to Powerball and Mega Millions rules. VERIFY also reviewed state lottery commission policies and laws and did not find any restrictions against noncitizens playing local lotteries in the states in which they are visiting or living.
Noncitizens visiting or living in the U.S. can buy physical tickets in any state, and where applicable, online tickets, as long as they are physically in the U.S. at the time of purchase.
"Visitors to the United States are always welcome to purchase tickets for our game from an American lottery retailer while they are visiting this country; you do not need to be a resident or citizen to win,” Mega Millions says.
VERIFY reviewed state lottery commissions and laws, and did not find any states that have rules banning noncitizens from claiming a state-run lottery prize. But, in some cases, there are additional rules for winners who aren’t from the country.
In many cases, noncitizens may be taxed at a higher rate than U.S. citizens for their winnings.
Noncitizens generally pay about 30% in federal taxes, as set by U.S. Code 1442. They also must pay state taxes for the state in which the ticket was purchased.
For example, in Colorado, U.S. citizens who win the lottery are taxed 24% federally and 4% for the state while noncitizens are taxed 30% federally, plus 4% for the state.
There also may be special rules for noncitizens on where winning lottery tickets can be redeemed.
Some states, like Connecticut and Maryland, require noncitizens to visit lottery offices to claim winnings greater than $600. Citizens often have the option to claim those same winnings at other locations like lottery retailers, casinos or by mail. Powerball says to contact local lotteries for more specifics on claiming prizes by state.