Abstract
Prize winners face income tax consequences upon receiving their prize. Whether the prize is a plaque, car, trophy, or cash, if it has value, it is generally deemed taxable income by the I.R.S. Congress recently passed legislation, Internal Revenue Code Section 74(d), giving Olympic athletes an exemption from income on their Olympic medals and cash they receive from the Olympic Committee.
This note examines what effect the legislation has on an Olympic athlete’s tax return. Additionally, this note looks at what questions an Olympic athlete might ask themselves when determining what is includible in income or what is deductible as an expense. Is money received from supporters taxable as income? Is a protein-rich diet deductible as an expense? Many questions are posed; some are answered, in an attempt to answer what good, if any, Internal Revenue Code Section 74(d) accomplishes.
Recommended Citation
Cody Walls,
Olympian’s Medal and Money Exemption: How Congress’s Addition to Internal Revenue Code Section 74 Does Very Little for Very Few,
43
S. Ill. U. L.J.
463
(2019).
Available at:
https://opensiuc.lib.siu.edu/siulj/vol43/iss2/7