Lotto Jackpot Claimed as a Trust

The Texas Lottery announced The T.C. Smith Trust, Daniel L. Moody, Trustee, of Azle, TX claimed the $11,970,265.60 cash value of the $16 million advertised jackpot from the Feb. 20 Lotto Texas® drawing Wednesday at Texas Lottery® headquarters in Austin.

The trust’s Quick Pick ticket was the only ticket sold to match all six numbers drawn, 8 – 14 – 27 – 30 – 47 – 51.
The ticket was purchased at the Valero Corner Store #2073 located at 4150 Bryant Irvin Road in Fort Worth. The store is eligible for a $160,000 retailer bonus for selling the winning ticket.
The claimant requested minimal publicity.

This winner did a lot right. They kept their mouth shut and it looks like they sought solid legal and financial planning taking two weeks to develop a solid plan before claiming the jackpot prize.

All lottery winnings are considered taxable income, regardless of whether they are received as a lump sum or in multiple annual payments. This winner chose lump sum which may have planning advantages for the trust. Holding the lottery winnings in a trust has some tax advantages because it avoids probate of the lottery proceeds upon death of the winner and minimizes taxes on the estate.
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In the multi-state lotto games Mega Millions stands at $33 Million for tonight’s drawing. Saturday brings the drawing for the higher jackpot Powerball game with $150 Million up for grabs.