Number One - S1-E24
Continuity mistake: When Randy is scratching off the joke lottery ticket, the amount of scratched-off material left on the ticket changes between the three close-ups. One shot shows that the ticket was rubbed and not scratched (the area revealed has a haze to it).
Answer: He would definitely have to pay a Federal income tax, but state tax laws vary. My own state does not have an income tax, and instead collects revenue through sales taxes.
raywest ★