[KarlInOhio]

Does he pay state income tax based on where he lives when he bought the ticket or when he cashes the ticket? If it is where he lives where he cashes the ticket he could have saved nearly $20 million of New Jersey income tax by moving to a zero income tax state before cashing it (assuming he takes the $221 million immediate payout option).

[nascarnation]

I don’t know about NJ, but in NY if the ticket is purchased there, you pay their tax.

http://www.forbes.com/sites/janetnovack/2012/03/30/how-much-tax-will-you-owe-on-540-million-jackpot/