How does it work when you win cars money etc. on game shows

you have all the federal and state taxes that are due on them, their value is shown as a 1099 income. Won a computer some years back, that free computer cost me a lot in the long run.

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Originally Posted by Fr_Chuck

you have all the federal and state taxes that are due on them, their value is shown as a 1099 income. Won a computer some years back, that free computer cost me alot in the long run.

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Thanks chuck

Income from winnings is taxable. Besides, you will also be paying other taxes (includes sales tax) and shipping charges.
So if you don't really need the item, you don't want to get the junk at a discounted rate.