[quote=spdrun]You’d likely have to make an appropriate estimated tax payment for the quarter that you won the prize.

If you do that late, you’ll likely be charged ~3% per annum interest rate until you do. TSOR says that money only gets withheld up front in case of a cash prize.

Thus if you can sell within 6 mos to a year, there’s likely some wiggle room.[/quote]Then, wouldn’t it be cheaper to “borrow” from the IRS than hard money? 3% beats 10%+. I’d totally get the house and sell it. Then pay the taxes from the proceed of the sell. Even if it takes >1 year (that just mean you’re not pricing it right and price of the house isn’t really $4M), it’s still worth it to just “borrow” from the IRS than anyone else.