Team USA’s Fierce Five became the second American women’s gymnastics team ever to win the gold medal. These teenagers will also be awarded $25,000 each for being the best in the Olympic world–but what they’ve earned they’re not going to be able to keep because part of the medal and the prize will be confiscated by our government, so sayeth Uncle Sam.
That’s right. Each one of the Fierce Five has to pay a medal tax of up to $236. Then they also have to pay a prize tax on their cash award that could be up to $8,750. So that brings the total up to about $9,000 that they could owe the taxman. Leave it to our government to punish Team USA for their success on behalf of all Americans.
Yesterday, Senator Rubio introduced a bill to exempt Olympic medalists from paying taxes on their medals and their prizes. I am a cosponsor of a similar bill in this House. The long arm of the internal taxman reaches far across the seas to grab a piece of the gold from kids that it neither earned nor deserves.
And that’s just the way it is.