$1500 or new car.. What would you do?

[MR. SNIFLES]

A lot of people were calling him stupid, but taxes are high as shyt in california. Yeah he could have won the car, but he would have been paying maybe 4k-5k in taxes.

He most likely knew he could not afford the taxes and took the cash. Taxes on 1500 is cheaper than taxes on a 22000 car.

YOU DON'T PAY SALES TAX SO NO TAXES ARE DO UP FRONT. THE CAR IS CONSIDERED INCOME. YOU PAY THE TAXES AT THE END OF THE YEAR. I'VE WON 3 SOMEWHAT BIG TICKET ITEMS AND IT GOES THE SAME WAY EVERY TIME. I GET A LETTER AT THE END OF THE YEAR AND I HAVE TO DECLARE THE PRIZE ON MY TAXES. BASICALLY THE MSRP OF THE CAR IS ADDED TO YOUR INCOME AND YOU'RE RESPONSIBLE FOR THE INCOME TAX.

THE COMPANY THAT BOUGHT SPONSORED THE CAR PAYS THE SALES TAX.

 

[Bunchy Carter]

Um nah nikka. Sell the car for 22k, pay the taxes, profit 17k. There's no justification for this.

YOU DON'T PAY SALES TAX SO NO TAXES ARE DO UP FRONT. THE CAR IS CONSIDERED INCOME. YOU PAY THE TAXES AT THE END OF THE YEAR. I'VE WON 3 SOMEWHAT BIG TICKET ITEMS AND IT GOES THE SAME WAY EVERY TIME. I GET A LETTER AT THE END OF THE YEAR AND I HAVE TO DECLARE THE PRIZE ON MY TAXES. BASICALLY THE MSRP OF THE CAR IS ADDED TO YOUR INCOME AND YOU'RE RESPONSIBLE FOR THE INCOME TAX.

THE COMPANY THAT BOUGHT SPONSORED THE CAR PAYS THE SALES TAX.

Both of you nikkas do not know shyt

This nikka said sell the car you do not own and pay the taxes later

YOU HAVE TO PAY TAXES ON THE CAR FIRST:

FREDERICK M. BROWN/GETTY IMAGES
ARROW

ENTERTAINMENT
15 Showcased Facts About The Price is Right

4. WINNERS HAVE TO PAY TAXES ON THEIR PRIZES.

Sure, it seems fun to win a new car on The Price is Right, but the truth is winners have to pay taxes upfront in order to even gain access to the prizes. When contestants win any prizes, they first must file a return in the state in which they won, which is usually California. The prizes are treated as income. Winners have to pay based on the full retail value of the prize, so a lot of winners decide not to accept the prizes.

ABC News interviewed a few contestants about how much they had to pay in taxes, with one guy saying he won $57,000 in prizes but had to pay close to $20,000 in taxes. Another contestant turned down his $10,000 cash, because he didn’t want to give half to his ex-wife. In 2016, The Price is Right executive producer Mike Richards told The New York Times that the show sends a tax letter to every winner telling him or her how much in taxes they need to pay before they can receive their prizes. He said since he took over as producer in 2008, all of the Showcase Showdown winners have paid the taxes and accepted their prizes.

15 Showcased Facts About <em>The Price is Right</em>

 

[MR. SNIFLES]

Both of you nikkas do not know shyt

YOU HAVE TO PAY TAXES ON THE CAR FIRST:

FREDERICK M. BROWN/GETTY IMAGES
ARROW

ENTERTAINMENT
15 Showcased Facts About The Price is Right

4. WINNERS HAVE TO PAY TAXES ON THEIR PRIZES.

Sure, it seems fun to win a new car on The Price is Right, but the truth is winners have to pay taxes upfront in order to even gain access to the prizes. When contestants win any prizes, they first must file a return in the state in which they won, which is usually California. The prizes are treated as income. Winners have to pay based on the full retail value of the prize, so a lot of winners decide not to accept the prizes.

ABC News interviewed a few contestants about how much they had to pay in taxes, with one guy saying he won $57,000 in prizes but had to pay close to $20,000 in taxes. Another contestant turned down his $10,000 cash, because he didn’t want to give half to his ex-wife. In 2016, The Price is Right executive producer Mike Richards told The New York Times that the show sends a tax letter to every winner telling him or her how much in taxes they need to pay before they can receive their prizes. He said since he took over as producer in 2008, all of the Showcase Showdown winners have paid the taxes and accepted their prizes.

15 Showcased Facts About <em>The Price is Right</em>

YES. I'VE GOTTEN THAT LETTER. YOU SIGN AND GET YOUR PRIZE. THE LETTER JUST WARNS YOU OF THE FINANCIAL OBLIGATIONS YOU TAKE ON BY ACCEPTING THE GIFT.

 

[Sleepy Walker]

Um nah nikka. Sell the car for 22k, pay the taxes, profit 17k. There's no justification for this.

I think you have to keep the car for a certain time period before you can sell it.

 

[No Homo]

this dude i went to junior high with won a car(Lexus) on wheel of fortune...Said he couldnt afford the monthly insurance so he sold it back to the dealer for the cash.

 

[No Homo]

YOU DON'T PAY SALES TAX SO NO TAXES ARE DO UP FRONT. THE CAR IS CONSIDERED INCOME. YOU PAY THE TAXES AT THE END OF THE YEAR. I'VE WON 3 SOMEWHAT BIG TICKET ITEMS AND IT GOES THE SAME WAY EVERY TIME. I GET A LETTER AT THE END OF THE YEAR AND I HAVE TO DECLARE THE PRIZE ON MY TAXES. BASICALLY THE MSRP OF THE CAR IS ADDED TO YOUR INCOME AND YOU'RE RESPONSIBLE FOR THE INCOME TAX.

THE COMPANY THAT BOUGHT SPONSORED THE CAR PAYS THE SALES TAX.

This is correct. ..

 

[Badda_Bing]

I dont think we should be clowning breh, he seems to be a bit slow

 

[Bunchy Carter]

YES. I'VE GOTTEN THAT LETTER. YOU SIGN AND GET YOUR PRIZE. THE LETTER JUST WARNS YOU OF THE FINANCIAL OBLIGATIONS YOU TAKE ON BY ACCEPTING THE GIFT.

No, you don't sign a paper a get your prize. You have to pay taxes upfront in california to get your prize.

 

[MR. SNIFLES]

No, you don't sign a paper a get your prize. You have to pay taxes upfront in california to get your prize.

EVEN THEN YOU HAVE OPTIONS. ONE PHONE CALL AND YOU GET FINANCED FOR SOMETHING THAT SILLY. WITH A NEW CAR AS COLLATERAL ANY BANK WILL LOAN YOU 1/3 OF THE VALUE OF A NEW CAR.

EVEN WITH BAD CREDIT YOU'LL GET THAT LOAN 100% OF THE TIME. YOU'LL GO HOME WITH THE CAR THAT DAY IF YOU AREN'T IGNORANT.