Obama To Tax Olympic Gold Medalists Up To $9,000

Olympic medalists must add the value of their actual medal as well as their prize money to their taxable income and fork over up to 35% of what they won representing America at the 2012 London Olympic Games according to Americans for Tax Reform.

What’s the big deal? According to Barack Obama, they didn’t win those medals.  It’s not that they had more talent or were more athletic. There are plenty of athletic people out there. Someone else made that happen.

The organization provides a handy chart which shows  current value of the metal contained in the Gold, Silver and Bronze Olympic medals and associated cash prizes for each achievement level.

Gold medalists, for example, receive a $25,000 cash prize in addition to $675 worth of gold in the medal.  At the 35% tax rate, that equates to about $8,986 in additional taxes for winning just one gold. So, with the American Fab 5 Gymnast team’s group win in London on Tuesday, the Tax Cheat Timmy Geithner’s US Treasury actually “won” up to $44,930.

Silver medalists are taxed up to $5,385, and Bronze medalists up to $3,502.

It gets even worse. Not only do our Olympic athletes have to pay taxes on their medals and prizes – chances are their competitors on the field will face no such taxation when they get home. Because the U.S. is virtually the only developed nation that taxes “worldwide” income earned overseas by its taxpayers, our Olympic athletes face a competitive disadvantage that has nothing to do with sports.

4 thoughts on “Obama To Tax Olympic Gold Medalists Up To $9,000

  1. Bill C says:

    This is an absolute, pathetic line of crap. This has been in the tax code for years, and the amount doesn’t even come close to reality. Think about it, a $25,000 honorarium gets a 35% tax rate? Come on, this doesn’t even pass the “BULLCRAP” test on so many fronts, it can only be a big A$$ lie. No wonder we can’t debate the real issues facing us. Morons like you are making up false ones to distract Americans who deserve the truth, bought and paid for by the blood of American Veterans….I challenge you to go to a VA hospital and ask if they served so lies could be spread. Free speech has responsibilities.

    • Steven says:

      The information is absolutely correct. It has either “been in the tax code for years” or is “a big a$$ lie.” If you’re ceding that it’s “been in the tax code for years,” then you’re admitting it’s true.

      As stated in the article, every medalist will be forced to pay taxes on their medal and prizes, some at the 35% top marginal tax rate. Michael Phelps, to cite one example, surely makes enough per year to fall within the tax bracket that would see its income taxed at 35%. Anyone with an endorsement deal likely does.

      Instead of swearing and blustering as intolerant, nasty hate-filled liberals do on every issue, why not point out what is inaccurate.

      • Toerag says:

        Steven this is very misleading. Someone like Phelps may fall into the top marginal tax rate, but all the travel and training he will be able to deduct will likely minimize the tax bill – and to frame it like ‘Obama’ is putting an extra tax on every medal is basically an outright lie.

        Many of the younger olympians won’t come anywhere near making the top marginal tax rate to hit the 35% threshold on the bit of medal-income.

        • Steven says:

          Sorry, but Olympic gold medalists will pay up to $9000 in extra taxes because they won the medal. That’s a fact. You can go ahead and try to spin it any way you want. You can try to qualify “many young this, many old that,” “this itemized deduction, that itemized deduction,” but the facts are the facts and they are taxed up to $9000 for a gold medal. Those are the facts.

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