I was talking to someone overseas on some chat group lately for something completely unrelated to lotteries when this topic came up about taxation on a tax-funded gambling program and how when you do win, the government still takes a large chunk of the winnings in taxation. This just seems backwards to me on a number of levels.
For one thing, in most of the United States gambling of most sorts is illegal. This is starting to change with online sports gambling and I think that the reason why this is "legal" is mostly because the government realizes that there really isn't anything they can do to prevent it. I'm sure they WANT to control it, they just don't have the expertise to do so. With VPN's and especially with crypto, it is really easy to anonymously participate in gambling so the government just pretends to be cool with it when they are probably ripping out their hair trying to figure out how they are going to get their "cut."
If you walk into just about any minimart in America, you are going to see something like this. They try to promote it as being good for the communities and claim that they profits are used to benefit schools or something but do we really have any proof that this is the case? I'm sure that just like anything else in government that the money is wasted and filtered into the pockets of the people in power somehow.
It really irritates me that the government, even the rather libertarian government of North Carolina where they kind of let you do whatever you want, makes gambling illegal unless THEY are the ones providing the gambling. If you set up your own gambling card system and people entered into the gambling electively, you could be put in jail. If the government does it though, it is totally legal!
Then to make matters even worse if you are one of the lucky ones that actually wins, the government is going to take a big chunk of that money back from you. Recently a North Carolina man won $100k on a scratch ticket and by the time the government was finished taking their part he had just over $70,000 left over. What is the basis of the government having claim to 30% of this?
Going back to the international online friend of mine, the country that he lives in has a lottery system as well but if you win, you keep 100% of the winnings and honestly, that is the way it should be. Imagine if you won big on the tables in Vegas and then the casino came by and only gave you 70% of the winnings? Well, you would be upset and if you pursued it you would end up getting the other 30% as well and the government would have your back in this pursuit.
So it is just another example of "rules for thee, not for me!" that exists in the US government. I do not play the lotto because i feel as though it is a fool's venture. I do find it irritating that the number one thief in the United States is the government themselves though.