Olympic Prize Tax [Archive] - M4Carbine.net Forums

kmrtnsn

08-02-12, 19:54

I don't see why the honorarium paid, $25,000 honorarium for first place, $15,000 for second and $10,000, should not be taxed. Say an athlete wins 4 gold medals, that is a $100,000.00 in honorariums. I have to pay taxes on my income and at that bracket, they should too.

chadbag

08-02-12, 20:00

Only if they can deduct their expenses to prepare for and get to the games.

I don't wish to tax anyone and say NO to feeding the beast.

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Voodoo_Man

08-02-12, 20:01

If they gain income from winning then yes.

Moose-Knuckle

08-02-12, 20:04

Only if they can deduct their expenses to prepare for and get to the games.

I don't wish to tax anyone and say NO to feeding the beast.

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Bingo, one little American table tennis player spent $20,000 to train for these games. That should be a hell of a tax right off for her parents since she is a minor.

glocktogo

08-02-12, 20:36

Considering the bullshit the tax revenues will be wasted on, I voted no. :(

Voodoo_Man

08-02-12, 20:55

http://www.snopes.com/politics/taxes/olympics.asp

PlatoCATM

08-02-12, 21:18

They must have a really bad accountant. The first 80k or whatever should be tax free if out of the country. Frankly, I don't think any of it should be, as it could be thought of as a small payback for what they have spent in preparation for their ambassadorship. Their royalties and sponsorships will be taxed accordingly later anyway.

Moose-Knuckle

08-02-12, 21:42

Keep in mind that not all of them get sponsers and such, many who compete CANNOT accept such things or they will be in violation of all sorts of regulations.

http://www.businessweek.com/news/2012-07-30/high-school-student-missy-franklin-wins-100-meter-backstroke

QuickStrike

08-02-12, 23:18

I voted no, because imo they're already representing the country. Lots of hard work to even qualify for the olympics, let alone winning a medal.

Belmont31R

08-02-12, 23:26

On a purely technical note they should be taxed....but I don't agree with income taxes in the first place nor the huge entitlement beast that is fed with tax dollars.

These guys/gals started doing their "events" when they were low in the single digit age range, and all their hard work goes to getting their "prize" money taxed to pay for leeches who sit at home popping out babies and are a negative drain on society. Thats the real point here....we have athletes who are the best in the world by winning medals, and the majority of the taxes they pay on that money goes to welfare expenditures. Just goes to show how ****ed up our tax and spend program really is.

sgtjosh

08-03-12, 00:29

If they are "amateur" athletes why do they get prize money?

Belmont31R

08-03-12, 00:42

If they are "amateur" athletes why do they get prize money?

The United States Olympic Committee (USOC) pays prize money as well as funds their training. Most of this money comes from donations and fund raisers.

They give prize money based on the medal earned, and it helps pay these guys living expenses while they are training and competing around the world. Aside from the olympics you have national and international competitions. All this training, traveling, and competitions cost money. Not every athlete is a Phelps with millions in endorsements.

Gramps

08-03-12, 00:44

Does "O" pay taxes when he goes abroad to misrepresent the same country, and get taxed on his "Winning's" (Gifts)? AND, he never spent the time and energy to do his best, like these athletes do.

chadbag

08-03-12, 00:55

The United States Olympic Committee (USOC) pays prize money as well as funds their training. Most of this money comes from donations and fund raisers.

Here is more info. The USOC is a non profit organization and only funds a small number of the elite athletes:

http://blog.chron.com/frugalconfessions/2012/08/how-olympic-athletes-fund-their-dream/

They give prize money based on the medal earned, and it helps pay these guys living expenses while they are training and competing around the world. Aside from the olympics you have national and international competitions. All this training, traveling, and competitions cost money. Not every athlete is a Phelps with millions in endorsements.

Most aren't, and most pay their own way, with help of family and friends.

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Belmont31R

08-03-12, 01:07

Here is more info. The USOC is a non profit organization and only funds a small number of the elite athletes:

http://blog.chron.com/frugalconfessions/2012/08/how-olympic-athletes-fund-their-dream/

Most aren't, and most pay their own way, with help of family and friends.

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hmm most articles I read says the USOC has a flat pay out on medals earned, and that is what is taxable as unearned income.

chadbag

08-03-12, 01:14

hmm most articles I read says the USOC has a flat pay out on medals earned, and that is what is taxable as unearned income.

Sorry, I was not clear at the end. There is the "honorarium" for the medal winners. You are 100% correct. Not disputing that or anything you said, though trying to clarify about USOC funding training (it does, but only to a limited extent and only the most elite).

My final comment was agreeing with your "Not every athlete is a Phelps with millions in endorsements."

Until they win the gold and get the $25k prize, most athletes probably have gotten little if any USOC help unless super elite in certain sports that may get some help. Even then, it probably only is a minor dent in their expenses. USOC also runs training centers that certain elite athletes have access to.

Belmont31R

08-03-12, 01:23

Sorry, I was not clear at the end. There is the "honorarium" for the medal winners. You are 100% correct. Not disputing that or anything you said, though trying to clarify about USOC funding training (it does, but only to a limited extent and only the most elite).

My final comment was agreeing with your "Not every athlete is a Phelps with millions in endorsements."

Until they win the gold and get the $25k prize, most athletes probably have gotten little if any USOC help unless super elite in certain sports that may get some help. Even then, it probably only is a minor dent in their expenses. USOC also runs training centers that certain elite athletes have access to.

Nothing to disagree with there. But if we break it down, to say a lesser known sport with little to no funding, and a guy/gal wins gold, and they get a 25k check from the USOC they have to give up over a 3rd of that check to taxes.

Never heard her name on NBC: http://www.cbsnews.com/8301-400_162-57485843/u.s-judo-gold-medal-winner-kayla-harrison-wore-her-lucky-socks/

I just think its a travesty our tax code has devolved to the point our Olympic athletes get taxed such a high rate on their prize money and the same goes for anyone else.

Kfgk14

08-03-12, 14:39

I don't believe in FIT as it is :mad:, these guys/gals spend so much money training and work their asses off to compete for America, they should be paid to attend the Olympics by the Fed, not taxed (hey, it'd be way more productive than 80% of what the Fed spends money on now!).

Sry0fcr

08-03-12, 14:49

If they gain income from winning then yes.

End of story. We got to the place we are now by carving out exceptions for certain people as rewards or punishment, we don't need another.

chadbag

08-03-12, 15:37

End of story. We got to the place we are now by carving out exceptions for certain people as rewards or punishment, we don't need another.

The biggest exception is that you and I cannot write off our costs of doing business from our salaries. Businesses can and self employed people can, but you cannot write off your normal costs of doing business and earning your salary. Which means the cost of your labor and time. Someone had a lawsuit against the IRS for this but I cannot find it now. My Google-Fu is weak. It was a very well written argument.

We did not get to the place we are now by carving out exceptions for certain people as rewards or punishment. I am not saying that that does not happen, but that has not lead to where we are now. Where we are now was gotten to by unrestrained spending and handouts, not exceptions to income tax.

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CarlosDJackal

08-03-12, 15:51

Taxing their medals is just ridiculous. Taxing their earnings - sure. It's income and should be treated no different than taxes levied on bonuses and other sources of income.

chadbag

08-03-12, 15:53

Taxing their medals is just ridiculous. Taxing their earnings - sure. It's income and should be treated no different than taxes levied on bonuses and other sources of income.

It is my understanding that military serving in a war zone overseas are not taxed on the income earned for that service. Is that true? Should we change that rule / exception and start taxing that as well?

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Sry0fcr

08-03-12, 16:52

We did not get to the place we are now by carving out exceptions for certain people as rewards or punishment. I am not saying that that does not happen, but that has not lead to where we are now. Where we are now was gotten to by unrestrained spending and handouts, not exceptions to income tax.

The place I was referring to was a having an incomprehensible tax code, not the national debt or monstrous budget.

tb-av

08-03-12, 17:27

I don't think I have ever heard of a medal winner who's problem was paying taxes on prize money and medals.

300 Gold Medals at $700 = $210,000

300 Gold Medals Wins taxed at $9,000 = $2,700,000

But that's for $25,700 ( money and medal ). So they are being taxed about 35%.

So each Gold Medal is costing them about $250.

Those athletes could not afford one change of clothes for $250.

I honestly don't see the problem in taxing it. Like someone mentioned above where do you draw the line. Worrying about the tax on an Olympic Medal is like buying an AR and wondering how you will afford cleaning supplies.

In the grand scheme it's a non-issue.

Battle*Hound

08-03-12, 18:39

In the grand scheme it's a non-issue.

In the grand scheme, the taxes derived from these Olympians effort will account for nothing. The money wouldn't even cover some pos, slob of a politician's, friday night out of town encounter with some Brazilian tranny.

If it's a $1k or $100k, I don't care. The point is....it's just insane that even an olympic medal gets raped by this BLOODSUCKING GVMNT.

These lying, stealing criminals that are the Reprsntvs of this nation should have been handed a hard lesson long before now. And now the majority of this pondscum would rather live on their knees than to care anything about pride or integrity.

{deep breath} I just think the concept is disgusting. There is no end to it....
http://www.news-gazette.com/news/politics-and-government/2011-06-26/state-takes-money-designated-charities-repays-some-it.html

chadbag

08-04-12, 11:32

Belmont31R

08-04-12, 19:24

Here is an interesting article on the subject and it actually makes a very good point.

The US is one of a very small group of countries that taxes people globally based on citizenship, and not based on territoriality.

Most countries have moved to a territoriality scheme (which incidentally is how state taxes work inside the US).

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America’s Olympic Athletes Should Be Taxed on Their Winnings (but Not by the IRS)

http://finance.townhall.com/columnists/danieljmitchell/2012/08/04/americas_olympic_athletes_should_be_taxed_on_their_winnings_but_not_by_the_irs

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I see it as the government getting it both ways. Our rights cease to exist at the border yet their authority is world wide. Isn't that how they can execute Americans without any due process? So the IRS gets to take your money if you work in the jungles of South America but the government doesn't have to recognize your rights when you're abroad.