Legislation would make Olympic medals tax-exempt for U.S. athletes
By Ed O’Keefe, Washington Post
Did you know that U.S. athletes owe taxes any time they win a medal? Republican lawmakers — clearly seizing on Olympic fever and general displeasure with the tax code — want to change that.
After winning gold in London, an Olympic athlete also stands to earn a $25,000 honorarium. Silver medalists receive $15,000 and bronze medalists are slated to leave London with a $10,000 payday. Current U.S. tax law requires athletes to add the value of medals and honorariums to their taxable income — just as any winning game show contestant would have to pay taxes on a new car or toaster oven.
But Sen. Marco Rubio, R-Fla., and Rep. Blake Farenthold, R-Texas, introduced legislation Wednesday that would exempt American medal-winning gymnasts, rhythmic gymnasts, swimmers, divers, synchronized divers, runners, cyclists or water polo players from paying taxes on their Olympic winnings.
This is just plain ludicrous. This all started because a conservative website wrote that the winners of the gold will pay $9,000 in taxes. That is true ONLY if they make more that $338,000 this year. They will be taxed at the same rate as anyone else. In addition, they can write off their training expenses (just like Mitt’s horse) and knowing what those training costs are (some winter sports over %100,000 per year), they will probably pay next to nothing. Somehow I don’t feel bad for a kid earning $338,000 or more paying 9K in taxes. Could the Republicans actually work on something that benefits the whole country!
If this exemption did pass, why just medal winners? Why not all Olympic athletes? They all have training expenses and only a select few get any money from endorsements.
the Rmoney’s wrote off 77K on their taxes for their dancing horse Olympic athlete for training expenses.