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Illinois Commits "Fraud On Taxpayers", Lowers Maximum Lottery Payout To Just $600

Tyler Durden's picture




 

Susan Rick’s boyfriend won $250,000 from the Illinois Lottery in July.

As the Chicago Tribune reported in August, Rick thought the winnings would allow her to “stop working seven days a week, maybe fix up the house and take a trip to Minnesota to visit her daughter.”

No such luck.

Instead of real money, Rick’s boyfriend - one Danny Chasteen - got an IOU from the state.

The problem: the state’s inability to pass a budget even after hiring (and subsequently firing) budget “guru” and Laffer disciple Donna Arduin for $30,000 a month meant that any Illinoisan who won more than $25,000 couldn’t immediately be paid. 

More specifically, without a budget the comptroller's office doesn’t have the legal authority to make the payments. 

Fast forward to Wednesday and the state comptroller’s office made national news when Comptroller Leslie Geissler Munger said Illinois would skip a $560 million November pension payment. By way of recap (via Bloomberg): 

The spending standoff between Republican Governor Bruce Rauner and Democratic legislative leaders has extended into its fourth month with no signs of ending. Munger said her office will postpone a $560 million retirement-fund payment next month, and may make the December contribution late.

 

“This decision is choosing the least of a number of bad options,” Munger told reporters in Chicago on Wednesday. “For all intents and purposes, we are out of money now.”

 

Munger said the pension systems will be paid in full by the end of the fiscal year in June. The state still is making bond payments, she said.

 

“We prioritize the bond payments above everything else,” Munger told reporters.

We have of course been covering the Illinois budget story closely over the past six or so months and in response to Wednesday’s pension bombshell, we said the following:

One wonders what these means for Chicago's bankrupt school system, which, as we reported early last month, was depending upon nearly a half billion in funding from Springfield to plug a gaping budget hole. Further, this would seem to suggest that anyone who wins more than a few thousand in the Illinois lottery can go ahead and figure on getting a pieces of paper with Bruce Rauner's picture rather than Ben Franklin's for the foreseeable future. 

As it turns out, our assessment was too optimistic.

Whereas we suggested the limit for payouts would be a “few thousand”, it was cut yesterday to just $600.

Here’s USA Today:

The cash-strapped state of Illinois announced Wednesday they’ll be handing out IOUs for the time-being to any state lottery winner who wins more than $600.

 

“Payment delays will occur because there currently is no legal authority for the Illinois Comptroller or the Illinois

 

Lottery to issue checks,” the Illinois Lottery said in a statement. “Please note that the funding to pay winners exists, but the legal authority to issue checks does not.”

 

The lottery said the payments will be made once a state budget is passed.

 

The lottery has been delaying payments to big winners since the current fiscal year started on July 1. Initially, only winners who were set to get $25,000 or more were receiving IOUs.

 

On Wednesday, the Illinois Lottery lowered the threshold to $600.

Needless to say, some folks are upset, as winners are now incredulous at the idea that the state is essentially just selling bogus raffle tickets:

“How the heck can they do this, and they're still selling tickets?" said Homer Glen resident Rhonda Rasche, 48, according to the Chicago Tribune. "If I was the one selling raffle tickets and I didn't pay, I would be sued or in jail or both."

Yes, Rhonda, you probably would, but you’re not the one selling the tickets, the state is and while you can sue the state (and some people apparently are), you can’t really put it in jail. Furthermore, you can certainly count on people still playing the lottery even as they’re told they won’t be paid if they win, which means free (not to mention badly needed) revenue for Springfield. 

We’ll close with the same quote we left you with when we first told Susan Rick’s story in August. This is from State Rep. Jack Franks: 

"Our government is committing a fraud on the taxpayers, because we're holding ourselves out as selling a good, and we're not — we're not selling anything. The lottery is a contract: I pay my money, and if I win, you're obligated to pay me and you have to pay me timely. It doesn't say if you have money or when you have money.

 

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Thu, 10/15/2015 - 08:23 | 6670318 Cognitive Dissonance
Cognitive Dissonance's picture

You can't not win if you don't play.

Thu, 10/15/2015 - 08:24 | 6670325 Haus-Targaryen
Haus-Targaryen's picture

Lotto is called an idiot tax for a reason.  

 

Thu, 10/15/2015 - 08:27 | 6670337 Cognitive Dissonance
Cognitive Dissonance's picture

Hope springs eternal. The greatest con in the world is selling false hope since there are always willing buyers. Politicians have known this for centuries.

Thu, 10/15/2015 - 08:31 | 6670355 negative rates
negative rates's picture

We can still afford to take your money, it's for the kids recall buy them for the kids.

Thu, 10/15/2015 - 08:38 | 6670386 J S Bach
J S Bach's picture

Funny... Wall Street gambles and loses and they print trillions of fiat FR Notes to cover them.  An honest sucker who legitimately wins a numbers game and they deny payment.  Only in Ziombie America.

Thu, 10/15/2015 - 08:49 | 6670421 Slomotrainwreck
Slomotrainwreck's picture

If the Mafia guy refused to pay off winners in the numbers games, he would be kissed by a neighborhood baseball bat.

Thu, 10/15/2015 - 08:53 | 6670447 SafelyGraze
SafelyGraze's picture

if you *like* your lottery ticket, you can *keep* your lottery ticket

Thu, 10/15/2015 - 08:55 | 6670458 TongueStun
TongueStun's picture

yep, all of the BIG CITIES run by Republicans are flat broke too, as are all of the states with Republican rule for the last 20 years.....because you know....as the sheeple like to bleat here....."BOTH PARTIES ARE THE SAME"....

Thu, 10/15/2015 - 09:01 | 6670490 Oh regional Indian
Oh regional Indian's picture

Illinois is getting Rahmmed....reamed....bath-house style...

Thu, 10/15/2015 - 09:06 | 6670518 TongueStun
TongueStun's picture

Pension checks - stopped

Lottery Winnings= Stopped

 

 

WELFARE CHECKS TO THE DEMOCRAT TICKS AND LEECHES TO BE DELIVERED right ON SCHEDULE....

 

Yep, sure "BOTH PARTIES ARE THE SAME".....

 

I can see why cowards down arrow me, yet cower from replying and setting me straight!

Thu, 10/15/2015 - 09:16 | 6670563 Pool Shark
Pool Shark's picture

 

 

If you're stupid enough to play the lottery, you deserve an IOU.

 

THE LOTTERY: "Taxing the innumerate since 1964."

Thu, 10/15/2015 - 09:36 | 6670701 gmrpeabody
gmrpeabody's picture

Most of the folks doing all the buying don't know nothing about no news...

Thu, 10/15/2015 - 09:38 | 6670717 Pool Shark
Pool Shark's picture

 

 

And now the Punchline:

He'll still owe taxes on his 'winnings'...

 

Thu, 10/15/2015 - 10:11 | 6670899 JRobby
JRobby's picture

Comedy script:

Auditor: In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities......

Thu, 10/15/2015 - 10:28 | 6670987 Manthong
Manthong's picture

“We prioritize the bond payments above everything else,” Munger told reporters. 

Kind of like O’Banana and GM, huh?

Thu, 10/15/2015 - 10:48 | 6671048 0b1knob
0b1knob's picture

< Illinoisan.

< Sucker.

 

What do you call a citizen of Illinois?

Thu, 10/15/2015 - 11:26 | 6671203 Meat Hammer
Meat Hammer's picture

Illinoying

Thu, 10/15/2015 - 12:01 | 6671361 Billy the Poet
Billy the Poet's picture

This would be great news if it was Shirley Jackson's lottery.

Thu, 10/15/2015 - 19:08 | 6673212 COSMOS
COSMOS's picture

Amazing promisory paper for promisory paper (fiat)

You know things have gotten ridiculous at this point in time when there is a ponzi scheme based on another ponzi scheme.

If only Illinois was in the loop and was made up of a majorit of tribe members it could get all the dollars fiat it needed.  Just look at Israel.

Thu, 10/15/2015 - 13:48 | 6671800 PTR
PTR's picture

What do you call a citizen of Illinois?

 

Fucked.

Thu, 10/15/2015 - 22:11 | 6673796 MontgomeryScott
MontgomeryScott's picture

I honestly feel sorry for the woman who is pictured in the article.

GMO's and 'poor life choices' and stuff (like living in Illinois) have made her appear as being quite unnatractive. Triple-bag material, in fact. She's probably nice, though (or not).

Living in Illinois right now is like a man going through a divorce (the fucking you GET for the fucking you GOT).

Thu, 10/15/2015 - 10:24 | 6670969 Urban Redneck
Urban Redneck's picture

Fortunately the people who play the lottery are most likely using cash basis accounting for their tax reporting.  So they won't actually incur anything until they are paid.  The only reason I ever switched to accrual basis was because of the net reporting (loophole) for the year I took off to do day-trading.  But my tax return is phone book sized anyway so the headaches of recalculating and allocated expenses and income on a accrual basis is relatively minor (compared to things like FATCA, CFCs, or disregarded pass through foreign entities).  But if I'm unfortunate enough to pass through Chitcago any time soon, I'll be sure not to pay the stupid tax now.    

Thu, 10/15/2015 - 11:56 | 6671336 WTF_247
WTF_247's picture

FY ends in June (2016) ... Lets see ... taxes are due in April.

IRS taxes lottery winnings.  So does State govt ... hmmm

So - we  will have lottery winnners owing 10s of thousands or even 100s of thousands in taxes on a non-existant payment.  I bet, without a doubt, the Fed forms are already filed on these winnings - happens when you turn in the ticket in order to get paid.

The IRS is super nice - they take IOU also right - no penalties for non-payment, no increased chances of audit for refusal to pay (because you are obviously hiding the money) ...

It would not even surprise me to have the State go after these winners as tax cheats for not paying the taxes on the winnings.  There is likely some law they can use that states they owe the taxes whether or not they actually collect the money.  

 

 

Thu, 10/15/2015 - 16:55 | 6672706 VegasBob
VegasBob's picture

Actually, it's not likely that Federal or state income tax would be due on money not paid out.

The IRS has a 'constructive receipt' rule that reads:  "Income is not constructively received if your control of its receipt is subject to substantial restrictions or limitations."

I think the fact that the state hasn't even printed or mailed the check would be considered a 'substantial restriction.'

Thu, 10/15/2015 - 22:21 | 6673819 MontgomeryScott
MontgomeryScott's picture

Oh.

The IRS, of course, isn't REALLY 'bad'! SEE! They have a 'RULE'!

For only $5,000.00 (or maybe $15,000.00), YOU can have a 'tax attorney' look up this 'rule', and appear on your behalf to explain it to your friendly, honest, intelligent IRS 'case worker' (in front of a tax judge). A couple of years from now. When you go in to fight the tax. After they start fining you. And reposess everything you own. With guns and tanks. And shoot your dog.

The best option is NOT TO PLAY (at least, in ILLINOIS, the Land of Emmanuel).

FUCK the IRS! TO HELL!

Thu, 10/15/2015 - 11:37 | 6671250 Sanity Bear
Sanity Bear's picture

I said at the news that this was likely to happen that it wouldn't cause people to stop playing. The one inexhaustible resource is stupidity.

Thu, 10/15/2015 - 14:21 | 6671949 Tarzan
Tarzan's picture

Stupidity for sure.

Like the stupidity of believing these fools...

“Payment delays will occur because there currently is no legal authority for the Illinois Comptroller or the Illinois Lottery to issue checks,”

"the Illinois Lottery said in a statement. “Please note that the funding to pay winners exists, but the legal authority to issue checks does not.”

“For all intents and purposes, we are out of money now.”

 

So which is it?  Your out of cash, or your not aloud to issue a check?  And if the later, who's issuing the $600 checks, and who's making the Bond payments?

It's clear to me they are out of cash and they haven't found a lender to bail them out.  

Those lenders are busy, the fed is out of cash too! 

Freaking stupid Oligarch lackeys being led like sheep to the slaughter!

Thu, 10/15/2015 - 09:17 | 6670564 Handful of Dust
Handful of Dust's picture

she needs to go break some legs....it's the traditional old-fashioned Chicago way of debt collection.

Thu, 10/15/2015 - 09:16 | 6670571 Lorca's Novena
Lorca&#039;s Novena's picture

OK fine, i'll become a demicritter and go on the welfares. Cant beat em join em right?

Thu, 10/15/2015 - 09:23 | 6670620 Ness.
Ness.'s picture

Money taken out of of paychecks for union dues on direct deposit to the Dem machine - right on schedule.  There ain't no stopping that grift.

Thu, 10/15/2015 - 09:31 | 6670624 FireBrander
FireBrander's picture

"WELFARE CHECKS TO THE DEMOCRAT TICKS AND LEECHES TO BE DELIVERED right ON SCHEDULE..."

Turn off Limbaugh and Fox news moron; WELFARE CHECKS ARE CORPORATE WELFARE!

18% of EVERY DOLLAR pumped into SNAP goes into WALMARTS POCKETS....that's $14 BILLION A YEAR...the other 82% goes to Target and others...IT'S ALL CORPORATE WELFARE...that is why the checks must go out...if the welfare checks stop, CORPORATE AMERICA TAKES A BIG ONE SOLIDLY IN THE ASS...dumbass.

$1.17 BILLION A MONTH of Walmarts sales is SNAP! Let that sink in...that is why the welfare checks must go out...The "Ticks and Leaches" do not lobby in DC...WALMART DOES!

REPUBLICANS control Congress, CONGRESS writes the checks...NO TALK OF WELFARE SPENDING CUTS and definitely no actual cuts....EXPLAIN WHY?

~~~~~~~~~~~

Here, straight from Zero Hedge...read it, accept it...

Foodstamps Are Corporate Welfare http://www.zerohedge.com/news/2013-07-17/foodstamps-are-corporate-welfare
Thu, 10/15/2015 - 10:10 | 6670886 ThroxxOfVron
ThroxxOfVron's picture

FUCK Team Red -and FUCK Team Blue.

 FUCK Rush/Fox -and FUCK you, too..

The two legged social security numbered welfare leeches that the checks are made out to and the squidly corporate branded welfare leeches that gouge the check reciepients via political process purchases, card fees, overdraft fees, atm fees, pay-day loans, retail sales of wholesale chinese junk, rent gouging, selling nutritionless crap as conveniently prepackaged food, etc., are TWO SIDES OF THE SAME STOLEN COIN.


Thu, 10/15/2015 - 10:14 | 6670910 Fahque Imuhnutjahb
Fahque Imuhnutjahb's picture

+ a whole bunch !!     Ya damn skippy!!!

Thu, 10/15/2015 - 12:57 | 6671581 VAD
VAD's picture

I logged in just to upvote this.

Thu, 10/15/2015 - 21:46 | 6673739 MontgomeryScott
MontgomeryScott's picture

WAIT, WAIT, WAIT!

It's like voting for the 'lesser of two evils'!

YOUR point is valid, as is your antagonist's point. HE has a better avatar pic than you do, though.

Next thing you'll be saying is that that frozen cardboard with cheese-food-product  and red-tomato-like paste sold as 'pizza' really isn't nutritious. Reading enlightened discussions makes me hungry, and I'm gonna order out (using my Foxcomm-made phone).

 

Thu, 10/15/2015 - 11:11 | 6671125 AlphaBetaCFA
AlphaBetaCFA's picture

At $1.17B a month, thats $14.0B a year, or 2.9% of total revenue of $485B. With a net margin of 3.36%, that represents $470 million of net income. Not the windfall your post suggests given the size of the company. Let that sink in.

Walmart has done more for lower-income individuals than any government program out there.

Thu, 10/15/2015 - 15:05 | 6672176 AlphaBetaCFA
AlphaBetaCFA's picture

And, they pay $8 billion in income taxes each year. Walmart is not the problem. The government leaches are.

Tired of all the corporate bashsers out there. Just wondering, are there any corporations that do a good job of providing a valuable good or service? Ever see a movie or a tv show that showed a corporation in a positive light, or even not in a negative light? Wake up, you're being manipulated. I can choose who I want to do business with. The government leaves me no choice as they screw me every chance they get.

Thu, 10/15/2015 - 16:17 | 6672572 Not Goldman Sachs
Not Goldman Sachs's picture

I will bash. Walmart paying 8 billion tax on 485 billion revenue. that seems to be about 1.6%. somebody's lying.

Thu, 10/15/2015 - 16:53 | 6672723 VegasBob
VegasBob's picture

They pay tax on their profits, not on their revenues...

Thu, 10/15/2015 - 15:07 | 6672177 AlphaBetaCFA
AlphaBetaCFA's picture

.

Thu, 10/15/2015 - 21:59 | 6673774 FireBrander
FireBrander's picture

Nice math...except you need to add in:

1. WIC checks - Time and again people in line if front of me have two seperate orders...one for the WIC check, the other for items WIC won't cover that are paid for with cash.

2. Section 8 Housing puts more money into "poor" pockets who then take some of that money and spend it at walmart.

3. Medicaid - Holly Mother Fucker...that's a HUGE money saver for the poor; time for a new flatscreen.

4. EIC - ~$7k straight into the "poor" pockets and again more stuff from Walmart and all the other corps.

I would wager that if you add all that up, it's $30B a year easy of "welfare" money that ends up in Walmarts pocket...so a billion of net income or so...at least! Take that away and walmart wouldn't feel it?

Mon, 10/19/2015 - 09:30 | 6684629 AlphaBetaCFA
AlphaBetaCFA's picture

People CHOOSE to shop at Walmart. Why? Because they get greater value for their money than other alternatives - 3.3% net margin is not aggregious by any measure. That will continue until another competitor offers greater value. That's the way things should work. Its called free market capitalism. It's created a greater standard of living for all those fortunate enough to live in a society that will embrace it. Problem now is the global shift to socialism, statism, etc. is lowering the standard of living for everyone. Always has, always will. Read Mises' Human Action. Individuals act to improve their situation, as determind by the individual - its also called liberty. The resultant effect is that resources get allocted to their highest and best use.  Don't need some government bureaucrat to invoke some bullshit "public policy" or "regulation" ostensibly to help me but essentially designed to pad their own pockets. The more government involvement in anything, the more kickbacks and bribery, etc. Reduce government and reduce the opportunites for abuse. Very simple.

Thu, 10/15/2015 - 11:27 | 6671214 Meat Hammer
Meat Hammer's picture

if the welfare checks stop, CORPORATE AMERICA TAKES A BIG ONE SOLIDLY IN THE ASS...

Not to mention, there would be a chimpout of epic proportions...which is also considered.

Thu, 10/15/2015 - 12:13 | 6671409 Zymurguy
Zymurguy's picture

"chimpout" = funniest thing I've heard all week.. THANKS!

Thu, 10/15/2015 - 12:48 | 6671552 SmittyinLA
SmittyinLA's picture

chimpout of epic proportions = Lamar Odom

Fri, 10/16/2015 - 12:23 | 6675393 Tarzan
Tarzan's picture

there would be a chimpout of epic proportions...which is also considered.

 

Actually, not just considered, but the only real reason for welfare is crowd control.  snap cards are revolution insurance for the rich.

The correlation between food cost and revolution is nearly indisputable, as accurate a tell for future social unrest as Dr Copper is for the economy.  I'd venture to say handing out money to feed the poor is far more noble then the corporate hand outs woven into every bill that passes through Congress.

I'd rather see helicopter money to the people then another hand out to the pukes who cause the economic disparities.  When Bush sent my wife and I an unexpected $1,200 rebate check we built a fence around the back yard, While wall street types payed for a nights Coke binge.

So before anyone starts crying about feeding the poor and who benefits from the process we should probably focus on the billions handed out to the banksters every time they make a bad bet! 

 

PS,
Susan Rick has a boy friend, Really???

Thu, 10/15/2015 - 09:24 | 6670628 PT
PT's picture

It really does look like they're just having fun, seeing how far they can push before anyone complains.

No money for pensions.
No money for lottery winners.
But plenty of money for bankster bonuses.

"See, the eCONomy would stall if peoples had munny to spend.  The eCONomy only werks if peoples borrow munny from the banksters."

It's the Trickle-ON Effect.

"Oh, so you're NOT going to borrow money you can't afford to repay, eh?  Think you're smart.  Well, we'll just TAKE all your money and then you'll be FORCED to borrow some.  Let's see ya try and get out of that one!"

Thu, 10/15/2015 - 09:28 | 6670650 PT
PT's picture

Not a mistake:  eCONomy "werks", as in "twerks" ...

Thu, 10/15/2015 - 10:04 | 6670867 Max Cynical
Max Cynical's picture

Pension checks are NOT stopped.

Missing a payment to the pension FUND does not mean checks stop going to pensioners. They're simply choosing to underfund the pension plan. Their pension plans are currently ~45% funded...so missing a $500M payment just mean the pension programs are slightly more underfunded.

Thu, 10/15/2015 - 11:30 | 6671222 Meat Hammer
Meat Hammer's picture

Pension checks are NOT stopped.

Yet

Thu, 10/15/2015 - 22:00 | 6673776 MontgomeryScott
MontgomeryScott's picture

Well, SEE! You prove the point that (sic) our friends at Hasbara and TIA have been TELLING you!

The government IS protecting you!

Everything is FINE! Those people who say that the sky is falling are tinfoil hat-wearing conspiracy theorist NUTJOBS living in mommy's basement eating Cheetos, in boxer shorts, with nerd-packs!

PENSION RECIPIENTS: CALM DOWN!

The Sun WILL rise tomorrow, and FOREVER!

UNTIL IT DOESN'T.

It appears that the LOTTERY FUND, however, is slightly LESS funded (think NIRP on STEROIDS). Win 250 Large? Get 600 SMALL! (it's the INTEREST, you know)

 

Thu, 10/15/2015 - 09:15 | 6670566 tarsubil
tarsubil's picture

Absolutely. Keep spreading those words of wisdom from our masters. There are two parties and yours is always better than the other.

War is Peace. Freedom is Slavery. Ignorance is Strength.

This is a service announcement from the Ministry of Truth.

Thu, 10/15/2015 - 09:26 | 6670641 VarenneRiver
VarenneRiver's picture

Only on a national level...do you think jim bob from city hall is getting paid off by the deep state?

Thu, 10/15/2015 - 12:59 | 6671596 VAD
VAD's picture

No doubt jim bob has his own little scams going.  It's just a matter of scale.

Thu, 10/15/2015 - 11:24 | 6671195 Meat Hammer
Meat Hammer's picture

TongueStun - Thank you for reminding us of the evil that is government, no matter which team is in charge.

Thu, 10/15/2015 - 09:00 | 6670483 NoDebt
NoDebt's picture

And this is why when things go bad, they go bad seemingly "all of a sudden".  It's been building for years, decades even.  But when it hits the wall, it hits the wall.

Watch for the Illinois death spiral to get worse fast.  Since they won't pay on winnings, the revenues from those lottery tickets will quickly dry up.  Who would play if it never pays off?

 

Thu, 10/15/2015 - 09:22 | 6670615 Pool Shark
Pool Shark's picture

 

 

"Who would play if it never pays off?"

 

That never stopped idiots from buying lottery tickets in the past...

Thu, 10/15/2015 - 09:31 | 6670671 nosam
nosam's picture

But the bond-holders AKA bwankers get paid on time no matter what ..everybody else gets excuses and IOU's.

Thu, 10/15/2015 - 09:31 | 6670672 NoDebt
NoDebt's picture

I don't recall a state lottery not paying off in the past.

Thu, 10/15/2015 - 09:41 | 6670749 Pool Shark
Pool Shark's picture

 

 

99.999999% of lottery participants have never won a jackpot; and yet, they continue to buy tickets...

 

Thu, 10/15/2015 - 11:32 | 6671232 Overfed
Overfed's picture

Indeed. But when the odds of winning go from mathematically insignificant to absolutely zero, no one will buy a ticket.

Thu, 10/15/2015 - 12:28 | 6671475 Chief Wonder Bread
Chief Wonder Bread's picture

Not true. They make great gifts. After all, it's the thought that counts. /s

Thu, 10/15/2015 - 16:23 | 6672596 Not Goldman Sachs
Not Goldman Sachs's picture

start suing the sellers of the tickets and see how many are sold

Thu, 10/15/2015 - 10:07 | 6670882 Takeaction2
Takeaction2's picture

So what your telling me is that my odds may get way better?  I am going all in bitchez.

Thu, 10/15/2015 - 14:05 | 6671873 PTR
PTR's picture

Since they won't pay on winnings, the revenues from those lottery tickets will quickly dry up.

 

Just like liquor, tobacco, and gas, they will go to the surrounding states.  

 

Kinda convenient that you can get all four in one stop.

Thu, 10/15/2015 - 13:45 | 6671789 de3de8
de3de8's picture

Don't play! Duh

Thu, 10/15/2015 - 08:57 | 6670466 PT
PT's picture

So what did happen to all that money that Illinois made by selling Lottery tickets???

Not segregated funds, I take it.
Corzined?

Might be a good time to start being paid in cash at the end of each day ...

maybe they didn't sell enuff tickets!  Yeah, yeah, that must be it...

You'll know the sheep are truly brain-dead if they continue to play ...

Thu, 10/15/2015 - 09:01 | 6670491 NoDebt
NoDebt's picture

There are no segregated funds in government.  It's all THEIRS.  They can play the shell game and talk about segregated funds, but at the end of the day, they'll take the money no matter what "bucket" it's in.

Thu, 10/15/2015 - 09:19 | 6670584 pods
pods's picture

But but but, the lockbox.

 

Thu, 10/15/2015 - 09:09 | 6670531 TongueStun
TongueStun's picture

So what did happen to all that money that Illinois made by selling Lottery tickets???

 

 

 

Are you kidding? All that money went to pay off the welfare ticks and leeches that constitute the Democratic party's base....yep..."BOTH PARTIES ARE THE SAME"

Thu, 10/15/2015 - 09:23 | 6670619 Kayman
Kayman's picture

Bankers on welfare, poor folks on welfare. 

Yes they are the same. But banker get bigger checks.

Thu, 10/15/2015 - 09:16 | 6670568 Chuck Walla
Chuck Walla's picture

It's Illinois, of course there is Corzining.  You can bet along with Madigan, Tiny Dancer, Rauner, the pals and hangers on are getting their taste. Meanwhile, child care, health care facilities and paharmacies are going bankrupt left and right.  Many are owed in the hunders of thousands and thats as good as a Lotto ticket.

 

FORWARD SOVIET ILLINOIS!

Thu, 10/15/2015 - 10:45 | 6671015 ThroxxOfVron
ThroxxOfVron's picture

Why don't they just pay the winners WITH Lottery Tickets?

 

 

"Put it all on Black."

"There is no black due to the budget impass, budget cuts, revenue short-falls, municipal and state malfeasance, misappropriations and fraud, Sir."

"Put it ALL on Red."

"Everything put on Red is automatically donated to the Democratic National Convention."

"What otehr colors do you have in this Casino?"

"We have a new color: Blue.  Anything put on Blue is charged a 2% fee for each spin of the wheel and 20% of all winnings by the Dealer, all winnings are then taxed at 60% by the House, and the rest can only be accessed at $600 dollars a month by debit MasterCard at atms with $6 withdrawl fee per transaction...   We also offer margin loans to play roulette and short term collateralized loans to get throgh to the end of the month when you can withdraw up to your $600 limit..."

Thu, 10/15/2015 - 11:07 | 6671110 auntiesocial
auntiesocial's picture

all those schools that they built and all those text books that we're purchased... WINK. WINK. NUDGE. NUDGE. fuck the system. skewer the bastards on pitchforks.

Thu, 10/15/2015 - 08:32 | 6670359 Government need...
Government needs you to pay taxes's picture

Leaving IL is an option more should consider.  Vote with your feet!

Thu, 10/15/2015 - 08:42 | 6670401 sessinpo
sessinpo's picture

Government need...   Leaving IL is an option more should consider. Vote with your feet!

----

Fuck  no. Leave the libtards there. Put a wall around the state and make it a prison. The US itself has become a prison. We'll just make places like Illinois maximum security.

Thu, 10/15/2015 - 10:18 | 6670931 XitSam
XitSam's picture

Mmmm.  I thought the US was a prison. Remember the 100 mile Constitution-free border zone? NSA surveillance of prisoners? NDAA detention in solitary without trial? TSA permission to move between cell blocks?

Thu, 10/15/2015 - 08:35 | 6670370 I am more equal...
I am more equal than others's picture

 

 

I'm certain the IRS and State Revenue Department are at the door looking for 50% of the winnings as taxable income.  Can the victim winner give them an IOU?

Thu, 10/15/2015 - 08:45 | 6670411 MaxMax
MaxMax's picture

You are probably correct.  The IRS and State will assess you tax on your winnings meaning that if you get a delayed lottery payment, you could have cash flow and tax problem. 

Thu, 10/15/2015 - 09:23 | 6670621 Bay Area Guy
Bay Area Guy's picture

Not sure of the rules in Illinois, but lottery winnings in California aren't taxable by the state.  FedGov certainly takes their cut and they'll take it whether you get an IOU or a cash payment, so you're absolutely right about a potential cash flow problem.  FedGov would probably garnish the poor bastard's wages and effectively take the entire amount of lottery winnings as penalties and interest.

Thu, 10/15/2015 - 09:30 | 6670666 Government need...
Government needs you to pay taxes's picture

The game is 'no-limit' tyranny.  Please, have a seat.

Thu, 10/15/2015 - 10:14 | 6670911 dontgoforit
dontgoforit's picture

You are not 'assessed' the tax until you receive the payment.

Thu, 10/15/2015 - 10:49 | 6671053 ThroxxOfVron
ThroxxOfVron's picture

That was NOT true for funds dispensed under the Unified To Minors Act.

People were indeed taxed for funds that were NOT disbursed to them.

The IRS did not give a shit if the money was stolen and charges of fraud were being pursued: they garnished wages and seized accounts...  I don't know if this was ever changed.  

Be very careful making such statements as you have here...

Thu, 10/15/2015 - 08:37 | 6670382 Oldwood
Oldwood's picture

Its one thing to continuously and increasing rob people of their hard earned incomes, but when you start robbing gamblers, people who expect something for nothing, then brother, you are looking for a fight.

Thu, 10/15/2015 - 09:00 | 6670488 PT
PT's picture

Can't even make a legit profit out of a lottery racket!  How do these people manage to breathe?  Put a one-cell amoeba in charge.

Thu, 10/15/2015 - 08:39 | 6670390 Sisyphus
Sisyphus's picture

Holy cow, a land whale! A species on the verge of extinction in the US. Discovery channel is doing a special on them next week. Do watch!

God bless Susan Rick’s boyfriend. I am glad he took one for the team.

Thu, 10/15/2015 - 08:45 | 6670414 VarenneRiver
VarenneRiver's picture

Did you think GMOs would turn us into sex gods?

Thu, 10/15/2015 - 08:51 | 6670439 Oldwood
Oldwood's picture

Possibly...

All we need is additional"adjustments" in our perceptions.

Thin people work too much and as such are a threat to the happiness of social uniformity. So fatten up and turn on the TV.

Thu, 10/15/2015 - 09:31 | 6670651 Pool Shark
Pool Shark's picture

 

 

Somehow, I suspect Susan Rick's boyfriend actually received the payout; he's just using the budget crisis as a convenient dodge and lying about the IOU so he doesn't have to share his winnings with her...

 

Thu, 10/15/2015 - 08:42 | 6670399 divingengineer
divingengineer's picture

Lighten up Francis.

It's $1.

 

Thu, 10/15/2015 - 08:48 | 6670425 SpeedKing
SpeedKing's picture

It's all about the hope.  I play the lottery occasionally and buy scratch-offs as well.  I fully realize the math, and justify it by how I'm increadibly cheap with how I live.  So, I don't feel bad about $30 a month on the lottery since I almost never buy lunch (I make it at home), buy expensive coffee, spend money on a car, even though mine is far into the 6 digits, etc and I save money every month.  

I know that I'll never win, but eff it.  Some people like seeing movies in the theatres and getting Starbucks a couple times a week.  I like throwing my money at something I'll never win.  We all have our frivolous things :)

 

Thu, 10/15/2015 - 08:57 | 6670468 Azannoth
Azannoth's picture

So what is the Stock Market called?

Thu, 10/15/2015 - 09:03 | 6670498 Depression is Coming
Depression is Coming's picture

The gift that keeps on giving?

Free money wheel?

Personal piñata?

I can't believe it's not butter?

Unicorn shitting skittles?

Thu, 10/15/2015 - 09:32 | 6670681 Pure Evil
Pure Evil's picture

The Perpetual Wealth Machine?

 

(Well, anyway at least for the 0.01%'ers)

Thu, 10/15/2015 - 09:47 | 6670478 Depression is Coming
Depression is Coming's picture

This is too funny! They would just blow through it all in 1-2 years anyway...you can always count on an idiot!

Thu, 10/15/2015 - 09:20 | 6670596 Pickleton
Pickleton's picture

It may be called an idiot tax, but that idiot still won and isn't getting what should have already been given.  Lesson 213423452351 in, 'the govt will ALWAYS fuck you'

Thu, 10/15/2015 - 09:41 | 6670744 world_debt_slave
world_debt_slave's picture

imo, the stock market is a lottery that I opted out of after the tech bubble

Thu, 10/15/2015 - 09:44 | 6670761 holmes
holmes's picture

Fuck the libtards in Illinois. I can't wait for that state to go bankrupt.

Thu, 10/15/2015 - 12:23 | 6671450 Perimetr
Perimetr's picture

The latest Illinois lottery jackpot:

A case of Bud Light, a coupon book for MacDonalds, and a box of Trojans.

Thu, 10/15/2015 - 17:03 | 6672761 Buck Johnson
Buck Johnson's picture

The bankruptcy of American govt. is slowly breaking through the dark waters and we are seeing the monster and it's not pretty.

 

Thu, 10/15/2015 - 08:25 | 6670319 VinceFostersGhost
VinceFostersGhost's picture

 

 

Lowers Maximum Lottery Payout To Just $600

 

Just ran out of other people's money....really sorry about that.

 

Thanks for playing though.....please keep doing so.....our funding from Greece is due to hit any day now.

Thu, 10/15/2015 - 08:27 | 6670341 Marvin the Martian
Marvin the Martian's picture

It is tough budgeting peoples money, you know how many front companies these politicians have to keep going? They may have to purchase vaccum cleaners to suck in all the cash a bit more efficiently. 

 

Dont worry, all that "sustainable" growth is on its way! Way to go Green man! Windfarms will save us! ? Al Gore...! ... lack... of...nutrients... blah

Thu, 10/15/2015 - 08:31 | 6670352 Cognitive Dissonance
Cognitive Dissonance's picture

Oh...the money's there. They have assured us.

"Please note that the funding to pay winners exists, but the legal authority to issue checks does not.”"

They just can't legally give it to you.

 

<I can't wait until they 'settle' all outstanding lottery payout claims for 50 cents on the dollar.....bitches.>

Thu, 10/15/2015 - 10:08 | 6670885 Max Cynical
Max Cynical's picture

"Please note that the funding to pay winners exists, but the legal authority to issue checks does not.”

I like how they don't have legal authority to issue checks...unless it's arbitrarily below $600.

Thu, 10/15/2015 - 08:24 | 6670320 Mike Masr
Mike Masr's picture

If you owe state income tax to Illinois will they accept an IOU? 

Thu, 10/15/2015 - 08:32 | 6670356 FaxuXe
FaxuXe's picture

My thoughts exactly.  Those IOUS should be directly deducted from taxes owed at end of year.

Thu, 10/15/2015 - 08:34 | 6670365 Government need...
Government needs you to pay taxes's picture

Im sure the State of Ill-noise has designed those IOUs to be fully tax-creditable. . .  Bwahahahah!  Fucking tyrants.  Time to renegotiate the social contract. . . after hanging a few crooks. 

Thu, 10/15/2015 - 08:43 | 6670403 Oldwood
Oldwood's picture

The "rules" were created by the rulers, not the ruled. And they are enforced by the rulers as well, so where is the confusion in this? Do we really think we can arm our protectors with guns and authority to use them and not find them pointed back at us at some point? This is THEIR money. They made it, they decide who gets to keep what, and obviously who receives what. Just keep your lube a drawstring britches on and be ready to bend over, when and where they demand.

Thu, 10/15/2015 - 10:53 | 6671065 ThroxxOfVron
ThroxxOfVron's picture

"If you owe state income tax to Illinois will they accept an IOU?  "

What are the penalty charges for not paying on time?

What are the penalty fees and what is the compound interest rate on late taxes and fees for outstanding arrears?

IS Illinois going to pay the same fees and compund interest rates that Illinois charges?

Thu, 10/15/2015 - 08:24 | 6670321 stinkhammer
stinkhammer's picture

stupid is as stupid does sir

Thu, 10/15/2015 - 08:28 | 6670343 VinceFostersGhost
VinceFostersGhost's picture

 

 

My mentor once told me that gambling was a tax for people that can't do math.

 

After years of mulling that over....I've come to the conclusion he might be right.

Thu, 10/15/2015 - 08:37 | 6670379 Philo Beddoe
Philo Beddoe's picture

On that theme...ever notice that all the folks that win these fucking things look like trailer trash? I am sure they piss it all down the train with 4x4s and marble fountains. 

Thu, 10/15/2015 - 08:48 | 6670426 Oldwood
Oldwood's picture

Its purely a coincidence that government legalized gambling for their own profit (general welfare, you know) is predominantly funded by those most apt to be on government assistance and the least able to afford bad choices. But of course, who else would gambling appeal to?

Thu, 10/15/2015 - 08:28 | 6670324 blown income
blown income's picture

http://www.illinoislottery.com/en-us/Lotto.html

 

Next jackpot 10.5 mil tonight

 

 

"Anythings possible"

 

 

 

Really ...

Thu, 10/15/2015 - 08:35 | 6670369 VinceFostersGhost
VinceFostersGhost's picture

 

 

"Anythings possible"

 

Yes we can......maybe.

Thu, 10/15/2015 - 08:58 | 6670469 MANvsMACHINE
MANvsMACHINE's picture

If I told you that you could win $600 by throwing down a buck, it might sound tempting. Most don't understand the odds of winning that $600.

Thu, 10/15/2015 - 08:28 | 6670326 JustObserving
JustObserving's picture

Many state and local government bankruptcies are coming precipitated by sky-high healthcare and retirement costs.

The US government has total debt and unfunded liabilities of over $210 trillion or over $1,720,000 per taxpayer.  It's bankrupt too.

Thu, 10/15/2015 - 09:01 | 6670494 slyhill
slyhill's picture

paging Meredith Whitney...

Thu, 10/15/2015 - 09:39 | 6670724 Pure Evil
Pure Evil's picture

You can't be bankrupt if you can print money for nothin and the chicks are free.

You become bankrupt when the noobs stop using your toilet paper to pay their debts both public and private.

Thu, 10/15/2015 - 08:25 | 6670327 Marvin the Martian
Marvin the Martian's picture

Gubbermint full of tards ruling other tards. Why anyone would live in a Blue state unless on welfare is beyond me.

Thu, 10/15/2015 - 08:25 | 6670329 willwork4food
willwork4food's picture

Go Bears!

Thu, 10/15/2015 - 08:34 | 6670362 waterwitch
waterwitch's picture

Go Cubs!

Thu, 10/15/2015 - 08:37 | 6670377 I AM SULLY
I AM SULLY's picture

Go Fuck Yourself!

Thu, 10/15/2015 - 08:39 | 6670388 VinceFostersGhost
VinceFostersGhost's picture

 

 

OK.....no season tickets for you!

Thu, 10/15/2015 - 10:16 | 6670918 danl62
danl62's picture

Spoken like a true Cardinal fan.

Thu, 10/15/2015 - 08:27 | 6670330 Callz d Ballz
Callz d Ballz's picture

Think that's bad, how about the dollar?

Thu, 10/15/2015 - 08:28 | 6670339 Mike Masr
Mike Masr's picture

On instructions from neocons, oatmealhead Obummer just spent 1 trillion of our US tax dollars on moderate maggots that behead Christians in Syria.   

Thu, 10/15/2015 - 08:37 | 6670383 o r c k
o r c k's picture

A trillion makes it easy to get ahead.

Thu, 10/15/2015 - 08:45 | 6670413 junction
junction's picture

Like $5,000 toilet seats, do you really think the USA spent 500 million dollars to train 4 or 5 "good" jihadist mercenaries. That money was first embezzled by insiders who then say it was spent on some make believe program.  Some Pentagon insiders and Obama friends now own real nice co-ops in NYC and Chicago paid for with stolen taxpayer funds.  Any Army accountant who attempts to really audit these mercenary funding programs can expect to be involved in a fatal car crash or be another unexplained suicide.

Thu, 10/15/2015 - 09:42 | 6670752 Pure Evil
Pure Evil's picture

Hopefully no nail guns were injured in the suiciding of the auditing accountant.

Thu, 10/15/2015 - 08:27 | 6670342 Q-Q-Q
Q-Q-Q's picture

When are people going to get it?

The US, in fact most Western economies are screwed. This is going to get so ugly and the people in charge will 'do whatever it takes and at whatever cost' to you and I to maintain their positions.

Thu, 10/15/2015 - 09:40 | 6670735 Buster Cherry
Buster Cherry's picture

IF it has to get ugly, then let that ugly be that the people in charge are doing whatever they can to keep from being ripped to shreds by the bare hands of the citizenry.....

Thu, 10/15/2015 - 08:28 | 6670345 Guitarbill
Guitarbill's picture

You know your state is broken when they can't even make a profit off a fuckin lottery!

Thu, 10/15/2015 - 09:05 | 6670511 PT
PT's picture

My biggest fear is that they'll keep selling tickets! :

"Oh, we probably weren't going to win anyway ..."

How brain-dead are the brain-dead?  We're about to find out.

Thu, 10/15/2015 - 08:30 | 6670348 blown income
blown income's picture

Hows the skim off the Powerball.......

Thu, 10/15/2015 - 08:31 | 6670354 wmbz
wmbz's picture

The tax hikes coming their way will be eye watering, and the citizens will stand right there and take it up the ass.

While the theives they elect continue right on stealing.

Not to worry though serfs these new taxes will only be on the "rich" folks!

Thu, 10/15/2015 - 08:56 | 6670461 Oldwood
Oldwood's picture

It is our responsibility to care for our brain dead brothers.

Bend over and take it up the ass when they raise taxes to pay lotto winners. After all, lotto winners are simply low income "investors" that deserve to be made "whole".

Thu, 10/15/2015 - 09:00 | 6670358 ejmoosa
ejmoosa's picture

The second best thing the tax payers could do in Illinois is to withhold their tax payments and quit playing the lottery.

 

The first would be to leave that sinking ship called Illinois before the exits are blocked.

 

How long before Illinois, who is collecting dollars for the multistate lotteries, also holds those dollars back to make payments, leaving winners in other states without their payouts?

You just know that if they have to they will.  It's how they operate.

 

Thu, 10/15/2015 - 08:34 | 6670363 Fred C Dobbs
Fred C Dobbs's picture

If you can't count on the lottery, what can you count on?

 

Thu, 10/15/2015 - 09:10 | 6670537 silverer
silverer's picture

Stacks of upaid winning lottery tickets?

Thu, 10/15/2015 - 09:45 | 6670766 Pure Evil
Pure Evil's picture

Just keep stackin and avoid boating accidents at all cost.

Thu, 10/15/2015 - 08:34 | 6670366 BadDog
BadDog's picture

Meredith Whitney will have the last laugh yet.

Thu, 10/15/2015 - 08:37 | 6670384 junction
junction's picture

Ha, ha, ha!

Thu, 10/15/2015 - 08:34 | 6670367 jughead
jughead's picture

The great state of Illiponzi! 

Thu, 10/15/2015 - 08:36 | 6670373 SilverDOG
SilverDOG's picture

Good god, is the other mass; 99% Monkey Rule, seeing or hearing any of these shots across the bow?

This monkey rule is proving itself quite well.

As a spectator, I believe I will exit the show before the theatre burns and the monkeys realize...

the roof is on fire.

The shots are in the face with rock salt: NOBODY seems to PREVENTATIVELY acknowledge.

Amusement as to such, is sincerely fading.

 

Thu, 10/15/2015 - 08:36 | 6670375 Catullus
Catullus's picture

Now playing the lottery really is just a tax.

Thu, 10/15/2015 - 11:23 | 6671188 SilverDOG
SilverDOG's picture

THAT'S  it !

 

Lottery tax care: win no taxes for a year, free health care, free Iphony, free 1 year EBT card, and no audit for 6.5 years!

Tickets are tax deductable as well.

Odds of winning, not likely.

Thu, 10/15/2015 - 08:36 | 6670376 Sizzurp
Sizzurp's picture

If folks are smart they will never buy another Illinois lottery ticket...oh wait

Thu, 10/15/2015 - 08:37 | 6670380 Q-Q-Q
Q-Q-Q's picture

That said the US has been pumping out IOU's for decades!!

I'm sure the Chinese will be just as understanding as the lottery winners lol

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