Top Story Replay -- Resistance Mounts for U.S. Medal Taxes

(ATR) A bill introduced in California would grant a tax exemption for athletes who win medals and cash prizes at the Olympics.

Introduced by Assemblyman Jeff Gorell, the bill now awaits a senate vote after passing through the assembly by a 53-4 vote.

As it stands, athletes must pay taxes on the payments they receive for winning medals. The USOC gives $25,000 for a gold, $15,000 for a silver, and $10,000 for bronze.

The rationale for the bill, according to Gorell, is that athletes who make such a sacrifice on behalf of their country deserve a break.

"The least we can do as a state and as Americans is to give these athletes a small break on this achievements they earn for their enormous sacrifice, these achievements made on our behalf," the assemblyman told the Associated Press.

A spokesperson for Gorell said that while the assemblyman does not have a personal connection to an Olympian, the bill represents "an issue that was recognized" following attempts to put it into effect at the federal level, as was recently done by Senator John Thune of South Dakota.

"The vast majority of these athletes are not highly rewarded for what they do, and when they do get this token of appreciation, it’s not appropriate to take Caesar’s share out of that," Gorell’s spokesperson told Around the Rings.

When contacted in February, Thune’s office responded similarly.

"While many countries support their athletes financially, the U.S. doesn’t and goes one step further by actually punishing those Olympic and Paralympic athletes who find themselves on the medal podium."

The bill did not go totally unopposed in the state assembly. Democrat Das Williams said it sets a bad precedent.

"Those school kids need their tax revenue more than they need the volunteerism," said Williams. "Those athletes did not make it on their own. They made it with roads paid by taxes, schools paid by taxes, and services paid by taxes."

Another, Phil Ting, asked why Nobel Prize winners shouldn’t receive tax exemptions as well.

However, bill supporters said it will cost the state less than $100,000 over the next three years.

"It really is a small number of people that we’re talking about, but what they’re doing and what the compensation is for is really different from anything else," said Gorell’s spokesperson.

"They are representing us."

2008 gold medalists Gabe Gardner (volleyball) and Stephanie Brown Trafton (discus) testified in support of the bill.

If signed into law, the bill would apply to prizes won at this year’s Winter Olympics, as well as those at future Games.

Written by Nick Devlin

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