The state of California is the big winner of “The Price is Right.” Winners must pay tax in advance before gaining access to the prizes according to Mental flow. The tax must be filed in the state where the price was one, which is almost always California for “The price is right.” The cost of a large premium, such as a boat, is not only treated as income, but the price is based on the actual retail value of the price (as depicted on the show), no discount manufacturers can get. Mike Richards, “The price is right“ manufacturer, explained to New York Times that the show sends a tax letter to victorious contestants and tells them how much in tax they have to pay before they can claim their winnings.
However, not every winner takes the prize. “Price is right,” said participant Katie Wey The post star that the $ 60,000 MasterCraft X30 water ski boat she won at the show was sold back to the dealer. While testing the 23-foot boat, the then college student turned in the keys because she had nowhere to keep the prize. After leaving “The Price is Right” with a total number of prizes worth $ 83,383, she sold the boat back to Castaway Marina and used the money to pay her $ 17,000 in taxes and buy herself a new car.