Rubio bill outlaws taxes on gold medals

Sen. Marco Rubio (R-Fla.) introduced legislation Wednesday that ends taxes on Olympic medals. 

The Olympic Tax Elimination Act would exempt Olympic medal recipients from having to pay taxes on the medals they win. 

When athletes win Olympic medals they also win honorariums. Gold medal winners receive $25,000, silver medal winners receive $15,000, and bronze medal winners get $10,000. Rubio's legislation would end taxes on those honorariums.
 
"Athletes representing our nation overseas in the Olympics shouldn’t have to worry about an extra tax bill waiting for them back home," Rubio said in a statement.

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Rubio's bill amends the Internal Revenue Code of 1996 in order to exempt recipients form having to pay taxes on their medals. The legislation applies to medals won after Dec. 31, 2011.

“We need a fundamental overhaul of our tax code, but we shouldn’t wait any time we have a chance to aggressively fix ridiculous tax laws like this tax on Olympians’ medals and prize money,” Rubio continued. "We can all agree that these Olympians who dedicate their lives to athletic excellence should not be punished when they achieve it.”

Rubio's bill comes a day after the U.S. women's gymnastics team took first place in the all-around gymnastics competition, beating Russia and Romania, which placed second and third, respectively.