No. The nations involved invest a serious amount of money into the representatives who are battling for the honor of their nation.
Should we have subjected Apollo 11 to an import tax for the moon rocks?
Are Olympic athletes now officers of the Armed Forces?
Some have been.
Are Olympic athletes funded by the nations they represent?
While in general I agree with this I would submit that Olympic athletes are, in theory, a bit different from your average wage earner.
It may be argued that they are sent to the Olympics to represent their country. Put another way they are not there for their own aggrandizement but to represent their country and bring it glory (in reality I think it is both).
As such the country they represent penalizing them if they win would seem odd to say the least.
That said there is a good Salon article which points out why all this is mostly much ado about nothing:
Yes but to varying degrees.
In some cases it is their one purpose in life (their job) and they are wholly supported by their government.
In others, like the US, it is largely up to the athletes till they are officially accepted to the Olympic team for their given sport (so the athletes largely got there on their own one way or another depending on the sport…can be quite expensive for the athlete).
Yes, I do, basically.
No, I don’t think they should. I believe that any legitimate “Winnings” that aren’t an expected part of someone’s job, regardless of whether they’re from lotteries, gambling, sporting endeavours like the Olympics, the Nobel Prize, game shows, sweepstakes, or prize draws, should be tax free.
So bonuses at work shouldn’t be taxed? How is taxing an Olympic medal any different than taxing Joe Sixpack for getting a $5k bonus for being the best widget salesman in the 3rd district of Acme corporation?
And how do you figure this? Wouldnt then everyone be paid minimum wage plus huge untaxed winnings to make up the difference to their fair market salary level? Seems like a huge loophole to me.
Yep. I paid thousands of dollars for the three I own!
I say tax them on the value of the medal, and if they do sell it, then tax them on the income from the sale.
I was thinking that as well. Bill Gates’ salary:
Base Pay: $7.25/hr.
Bonus for showing up: $500/hr.
Bonus for not pissing his pants: $1000/hr.
etc.
I say tax 'em. We tax Nobel Prize winners in medicine and the sciences and they have done immeasurably more for humanity than athletes.
when I first read the story about Rubio’s proposal, he said that the tax represented a penalty on excellence or words to that effect. If you agree with that, than the actors, directors, and producers involved in Oscar-winning films shouldn’t be taxed for the revenue they made for those films. Pulitzer Prize winners shouldn’t pay taxes on the proceeds from their work. Et cetera, et cetera.
This is just more Republican hogwash.
The rule of law in the USA is that at the Federal level cash “winnings” – be it contest prizes or gambling payouts – are taxable income. You are not taxed on the “value” of the* symbol *of the win, that is the trophy, medal, plaque, scroll of proclamation or whatever, until and if you sell it. Has been so for a long time. So have spoken the duly elected representatives of We The People.
That’s your country. The tax legislation in your country or mine creates no moral obligation about what the legislature of any other sovereign state “should” enact in matters of revenue.
The rule of law in the USA is that for a citizen and resident, income from activities and sources outside the USA is taxable. Heck, most citizen *non-*residents are still on the hook. Any participating Team-USA member will have been advised by USOC of the tax status of their prize. As others have mentioned, LeBron James and Mike Phelps may get taxed at 35%, but some archer from Nowheresville Junction, WY, would be in a lower bracket.
Oh, and strictly speaking, the athletes are sent there by the United States Olympic Committee and their respective National Olympic [Insert Name of Sport Here] Federation: private “nonprofit” organizations who will grab you by the lapels and strongly wail at you that they are not agencies or delegates of the government just because they get subsidies from it.
That would explain why I didn’t know. Thanks!
I don’t think either of them should be taxed; to be honest.
Now, if the “bonuses” are written into someone’s contract to the point where they’re going to get them as long as they show up, then I’d say they’re now “income” and should be taxed as such. But if Joe Sixpack is awarded a genuine $5k bonus (and not a dodgy “made up to get around the rules” bonus)- especially if he didn’t know he was going to get it - then I think it should be tax free.
Canada does not tax several types of income, including lottery winnings, and most gifts and inheritances.
According to this article, since the Beijing Games, Canada’s Olympic Committee pays athletes $20,000 for gold, $15,000 for silver, and $10,000 for bronze; this is for each athlete, so if the hockey team wins gold, each member gets $20,000. And starting in London, they are also paying coaches when their athlete wins a medal - $10,000 for gold, $7,500 for silver, and $5,000 for bronze.
And according to this article, Canada does tax this income, but they don’t tax some types of monetary prizes such as the Nobel Prize.
But, then what about working for minimum wage on the books, but getting large bonuses not on the books, but with the winkwink* mutual understanding of its size? And what about people like Citibank CEO and his $200 million bonus? None of that should be taxed? And speaking personally as a person who has been getting bonuses over the last several years despite the bad economy, I know I’m getting them in the future. In fact, the company management is smart and explains the policy of bonus disbursements, so that people feel its a fair program. I don’t understand the situation of Joe Sixpack “didn’t know he was going to get it”.
That would quickly get totally insane, what about the thousands in urine and feces Bieber flushes daily that fans would pay good money for? Think of how much the semen in his balls is worth to some nutso fan!:eek:
If you make capital gains income that is one thing, taxing gains that aren’t realized is crazy.