High Taxes
To us, non-millionaires, $127 million doesn’t seem too bad. Even if it is a $51 million difference, it really makes sense because when you come from nothing, $1 million is already an incomprehensible amount. So naturally, $127 million doesn’t seem that much different than $188 million. Unfortunately, Holmes wasn’t aware that there were more deductions to come.
Source: Hyperactivz
The money you receive after winning the lottery is taxed just as if it were income, on a federal and state level. When you take the money in installments, North Carolina takes 5.8% of the winnings, and the Federal government takes no less than 25%. If the winnings reach the highest tax bracket, they can take up to 39.6% of that money. Marie homes may have had to pay up to $50 million, depending on how she was taxed.