It's one of the most-searched lottery questions outside the United States, and the answer surprises people: yes, tourists and non-citizens can legally play and win US lotteries. A Canadian on a weekend trip, a visitor from overseas — anyone who buys a ticket in person in the US can win Powerball or Mega Millions. What changes for a non-resident isn't the eligibility; it's the tax. Here's the full picture, with particular attention to Canadians, who cross the border to play in large numbers.
Yes — you can play and win
Both games are explicit. Powerball: "You do not have to be a U.S. citizen or U.S. resident to play Powerball." Mega Millions: "You do not need to be a resident or citizen to win… Visitors to the United States are always welcome to purchase tickets from an American lottery retailer while they are visiting this country."
Two conditions apply. First, you must buy in person, in the US, from a licensed retailer — the games aren't sold outside the country, and buying "across borders" through third-party online resellers is where legality and payout problems arise. Second, you claim in the state where you bought the ticket, under that state's rules, exactly as a resident would (see How to Claim a Powerball or Mega Millions Prize).
(A note for currency: Powerball is launching a separate licensed offering in the UK in 2026. That's a distinct local game — to win US Powerball, a foreign player still buys in person in the US.)
The tax is different: 30%, not 24%
Here's the real catch. Where a US person has 24% withheld on a large prize, a non-resident alien faces a flat 30% US federal withholding on the gross prize. The IRS treats most US-source income paid to a foreign person as "subject to U.S. tax of 30%," withheld at payment and reported to you on a Form 1042-S (not the W-2G a US winner gets).
One common myth to kill: the well-known rule that casinos don't withhold on blackjack, craps, roulette, baccarat, or big-6 winnings for foreigners does not apply to lotteries. Lottery winnings are squarely subject to the 30% non-resident withholding. And the state where you bought the ticket may withhold its own income tax on top — from 0% in states like Florida and Texas to high-single-digit rates elsewhere, as covered in Lottery Taxes in the US.
For Canadians specifically
Because Canadians are the largest group of cross-border players, the Canada–US tax treaty deserves a clear-eyed explanation — the internet oversells it.
What the treaty does: under Article XXII of the Canada–US Convention, Canadian residents may deduct US gambling losses against US gambling winnings, the same way a US resident can — an exception most other nationalities don't get. Practically, a Canadian can file a Form 1040-NR after year-end, report the US winnings, deduct offsetting US gambling losses, and be refunded the portion of the 30% attributable to those losses.
What it doesn't do: a lottery jackpot has no offsetting losses. You didn't lose money gambling to win it. So in practice, there's little or nothing to deduct, and most of the 30% withheld on a jackpot is not recoverable. The treaty is genuinely useful for a casino gambler with documented losses; it does far less for a pure lottery win. Don't count on getting the 30% back.
The good news: the prize is a tax-free windfall in Canada. The CRA doesn't tax lottery winnings, foreign or domestic — so you won't be taxed a second time at home. (Income you later earn by investing it is taxable in Canada, as always.) The full Canadian treatment is in Are Lottery Winnings Taxable in Canada?.
The practical mechanics
A few things a non-resident winner needs to handle:
- A US taxpayer ID. To file a 1040-NR you'll generally need an ITIN (Individual Taxpayer Identification Number), obtained via IRS Form W-7, if you don't have a US Social Security number.
- Claiming after you leave. You claim through the lottery of the state where you bought the ticket. Many states allow mid-size prizes to be claimed by mail; jackpots almost always require an in-person appointment. Whether mail is an option, and the deadline, varies by state — check that specific lottery.
- The claim deadline still applies. From 90 days to a year depending on the state, and the separate ~60-day window to elect the cash lump sum.
The bottom line
A tourist absolutely can win a US jackpot — the dream is real and legal. But budget for the reality: 30% withheld federally (not 24%), plus state tax, and for Canadians, don't expect the treaty to claw most of that 30% back on a lottery prize. What you keep is meaningfully less than a US resident would net, but it arrives tax-free once it's home in Canada. Buy in person, claim in the state of purchase, and — as with any large win — talk to a cross-border tax professional before you file.