Did You Know That Winners Have to Pay Taxes?
Of course, any contestant who comes on The Price is Right is on there with the sole purpose of winning some cash and/or prizes. However, what viewers at home might not always take into account is that those prizes are treated as taxable income. Since winners are usually paying in the state of California (where the show is filmed), the price of victory can be quite costly.
Source: IMDB
The state treats the prizes as taxable income, and so winners have to pay up based on the prize’s retail value. It’s not a fun fact to learn if you just won the jackpot. The taxes are so burdensome that some winners have decided not to accept their prize at all! One contestant who was interviewed by ABC News said that he turned down his $10,000 prize because he didn’t want to give half to his ex-wife.