No one would mind having a million dollars in his /her bank account. So taking action is key. You have to undertake the first step of buying the lottery tickets and cross your fingers as you wait to hear the announcement of the results. Luckily enough you have emerged the winner! But it may be the beginning of problems. Everybody who is close to you wants a share of your money. You are now a sudden celebrity and your privacy has vanished. You have nowhere on earth to hide because you are trailed day and night by everyone!
How to remain anonymous
There are cases in history where lottery winners were slain and their cash stolen. This could happen to anyone and the worst thing is that close family and friends are known to have carried out such atrocities. Probably, you have heard of Abraham Shakespeare who was found buried under concrete after a lottery win. History does repeat itself. So what do you do after the big win?
It is impossible to do anything with your prize without disclosing your financial information to the government. The government encourages transparency of financial records. However, some states allows you to make a choice if to remain anonymous or to share your success with the public. Should you consider being anonymous, this are the options:-
You open a limited liability company or a trust and give it a name which is not yours. This means money belongs to you but in your company’s balance.
Trust within a trust
This is not easy to do but it is possible with the help of an experienced lawyer. It is the best option for “big” wins and you are looking out for safety. It involves two steps. First, you claim the prize and secondly, you transfer your money to your company. This is a bridge trust. The purpose is to hide your information as a lottery winner.
There is however a setback about all the planning of anonymity.
- Yes there are many states that support the idea of being anonymous but the law is challenged by many government officials. One of the reasons being that people’s confidence may go down. The lottery may be deemed dishonest. At one time a certain programmer actually predicted the winning number and for sure the winner of the lottery was upheld with a lot of suspicion.
- The officials also imagine that the lottery may stop being very fascinating to the players. Such stories of sudden success are the once that inspire people to play over and over again. So what is there to motivate people if the winner is anonymous? They reason.
The other reason is transparency of financial records. This is just the way it is. The government wants you to disclose what you have and pay taxes accordingly. However, would you want to get around the law you could try your luck in states like Maryland, Texas, Arizona, Delaware, South Carolina and other few more listed states.