What are the taxes and fees at Canada Lotteries?
Whether you play Canada lotteries in any part of Canada or even from the US, there are certain things to note about prizes, taxes and fees. In Canada, lottery winners don’t need to pay any fees to Canadian authorities on their lottery winnings. Also no lottery in Canada will never ask lottery winners to pay any advance or upfront fees to anyone at any time or for any reason. As a winner, you will never need to pay to get your winnings.
Also if you are international residents and playing lottery in Canada you should note that all prizes are paid in Canadian currency. Note that international residents don’t need to pay income tax to Canadian authorities on their lottery winnings.
So lottery winnings aren’t considered taxable for Canadian income tax purposes.
US lottery players
U.S. tax laws around lottery winnings are different than Canadian laws. If you’re a resident of the U.S. and you’ve won, you need to get in touch with a tax professional.
Also winning lottery ticket from an authorized retailer in Canada that don’t live in Canada you have two options to claim the prize that you have won.
You need to attend the Canadian lotteries Prize Centre in person like for OLG you need to come to Toronto.
If your prize is under $10,000, follow Canadian lotteries Claiming Your Prize by Mail instructions. If you live in the U.S., you need to include a Canadian address so that they can send your cheque to that address. Also you need to provide your U.S. address.
If you’re living in the U.S. and you’re claiming a Canadian lottery prize, keep the following things in mind.
Canadian lotteries never uses third parties to locate or pay its winners.
It is their policy not to mail any lottery-related materials, including prize cheques, to the U.S. It is contrary to U.S. laws and postal regulations for an entity which operates lotteries to knowingly deposit in the mail, or send or deliver by mail to the U.S., any letters or packages concerning a lottery, and/or any paper, writing, or other device used, to be used, or adapted, devised, or designed for use as an integral part of conducting a lottery.
As well, it is the Canadian Lotteries policy not to wire transfer prize payments to winners in the U.S., or transfer prize payments by any other method to the U.S. that may have the appearance of trying to bypass or circumvent U.S. postal regulations and legislation. If you have any questions about the application of U.S. postal regulations to Canadian lottery winnings, Also get in touch with the United States Postal Service.
Claiming Prizes for Non-U.S. International Residents
Canadian lotteries’ current practice is to mail prize cheques, when requested, to international mailing addresses, with the exception of addresses within the U.S. OLG cannot guarantee the safe or timely delivery of such mailings. Winners who request mailed prize cheques to international addresses do so at their own risk.
As said above you can give Canadian lotteries corporation a Canadian address where they can mail your cheque.