Let's Say You Won A Car On The Price Is Right, Here's What Happens Next

"The Price is Right" isn't on our list of the best car shows you can watch, but it's been giving out cars to lucky contestants since the early 1970s. However, winning a new car from the longest-running daytime game show in U.S. television history isn't as simple as it sounds. Winners don't get to drive those cars off the studio floor. 

A winner interviewed by Mental Floss said she was ushered into a "winner's room" backstage after winning the car to sign some paperwork and to commit to paying California sales tax on the vehicle. Then you wait, because prizes aren't given out until the show airs, typically months after the live taping. Another winner told New Jersey's Asbury Park Press that about a week before it's on, you get a letter from the show's accounting department telling you how much tax you owe. You send in a certified check for that amount, and then the show contacts a dealer near you to arrange for you to get your prize.

So let's say you won a new car on "The Price is Right," and the car has a fair market value of about $51,000, which is in the ballpark of the average new car cost for 2025. Considering the current 7.25% sales and use tax in California, you'll need to pay $3,698 in sales tax to take he car home. California is nowhere near the three states with the lowest taxes for new cars, so that's that.

In addition to paying California sales taxes, winners of new cars on "The Price is Right" must declare their winnings as income and pay both federal and state income taxes. In California, the income tax rates are from 1% to 12.3% (depending on your tax bracket), while federal income taxes are 10% to 37%. And winning big prizes (like a new car) will probably raise your tax bracket, which is why some winners refuse to accept their winnings. Using our example above, you might end up paying roughly $18,000 in state and federal taxes to take home your new car.

Moreover, winners must agree not to disclose the results or tell anyone that they won a car before the show airs on TV. Let's say you couldn't hide your excitement, and you immediately told the entire neighborhood about winning a new car on the show. That would be a not-so-brilliant move, since the agreement states that winners forfeit all the prizes they won if they tell anyone the results before the show airs.

Furthermore, the show reserves the right to forfeit all prizes won if the winner fails to meet its many eligibility requirement. For example, contestants must be 18 or above at the time of filming, and candidates for public office are not allowed to join.

Yeah, the taxes you owe after winning a car on "The Price is Right" take away some of the thrill. However, winners hoping to convert their new car into a cash value option are out of luck. You either take what you won or leave it on the table. Well, almost. 

So let's say you won a home appliance showcase on the way to winning your new car. The good news is that those appliances will be shipped to your home. The not-so-good news is, well, paying that sales tax on the car before taking it home. Then the show has 90 days to make the necessary arrangements with a dealer, and the winner has 10 days to collect the vehicle after the dealership notifies them the car is ready.

However, TikTok influencer Kate Steinberg recently won a new car on "The Price is Right." Per TV Insider, she revealed that although you cannot convert the prize and take the cash value of your new-car winnings, you can use the credits to take home a different car that's more in sync with your needs or lifestyle. 

Then again, you'll still need to pay the sales tax, and income taxes, too. If you really want cash, you can pay the taxes, sell the vehicle to recoup your expenses, and pocket the difference.