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Some winnings issued by the Hoosier Lottery Commission may be taxed by Indiana.
If you win any prize money from the Indiana Hoosier Lottery Commission, by winning:
You'll need to complete a worksheet to figure your deduction. Find the worksheet, and additional information, in the IT-40 instruction booklet or the IT-40PNR instruction booklet.
Important: Winnings from other state lotteries, Indiana pari-mutuel horse races or out-of-state tracks, Indiana or out-of-state riverboats, and other gambling winnings, are fully taxable in Indiana and should not be deducted from your taxable income.