Taxing the Olympic Medal Winners

TAXING THE OLYMPIC MEDAL WINNERS 2012 USOC PRIZE MONEY AMOUNTS 25K PRIZE AMOUNT 10K PRIZE AMOUNT 15K $8,986 $43,502 PRIZE AMOUNT $5,385 AMOUNTS A MEDALIST COULD OWE BASED ON A 35% TAX RATE Ryan Lochte Gabby Douglas 2012 Medals Won >> 2012 Medals << Won 2 2 1 Age: 28 Sport: Swimming Hometown: Daytona Beach, FL Age: 16 Sport: Gymnastics Hometown: Virginia Beach, VA $32,244 $17,972 2012 Estimated Taxes Owed Based on prize money & medal value MAXIMUM HISTORICAL TAX RATE 80% 60% 60% 40% 20% 0% 1936 1956 1968 1984 1996 2008 HISTORICAL US MEDAL COUNT YEARI LOCATION US OLYMPIC MEDALS INFLATION ADJUSTED TAXES PAID 1936 Berlin 24 20 12 $811,774 1948 London 27 19 $1,413,178 1952 Helsinki 40 19 17 $ 1,344,763 1956 Melbourne 32 25 17 $ 1,229,748 1960 Rome 34 21 16 $ 1,210,977 1964 Tokyo 36 26 28 $ 1,214,322 1968 Mexico 45 28 34 $1,326,239 1972 Munich 33 31 30 $1,119,162 1976 Montreal 34 35 25 $1,148,311 1984 Los Angeles 83 60 30 $ 1,657,161 1988 Seoul 36 31 27 $462,740 1992 Barcelona 37 34 37 $563,077 1996 Atlanta 44 32 25 $729,926 2000 sydney 37 24 33 $642,636 2004 Athens 36 39 27 $618,273 2008 Beijing 36 38 36 $648,197 TOTALS >> 625 490 413 $16,140,484 Infographic brought to you by: Disclaimer: The prize money used for the historical inflation adjusted taxes paid is based on $25K for Gold, $15K for Silver, $10K for Bronze for every Olympic year. The same amount is used each year although it may not have been paid out and the amount is adjusted for inflation. The max tax rate is used for each year. The historical chart is also based on US gold value and US silver value. The US bronze value is based on historical copper value. SOURCES: http://www.olympic.org/ http://www.olympic.org/united-states-of-america http://www.bls.gov/ http://www.lme.com/ http://taxfoundation.org/ http://minerals.usgs.gov/ http://money.cnn.com/2004/08/19/commentary/column_sportsbiz/sportsbiz/index.htm http://www.politifact.com/truth-o-meter/statements/2012/aug/01/americans-tax-reform/do-olympic-medalists-owe-9000-irs/ http://www.inquisitr.com/290473/fun-fact-an-olympic-gold-medal-costs-u-s-athletes-9000-in-taxes/ http://www.weeklystandard.com/blogs/go-gold-pay-irs_649187.html http://www.voxxi.com/olympics-tax-awaits-american-medal-winners-at-home/ http://www.nbcolympics.com/athletes/athlete=gabrielle-douglas/index.html http://www.nbcolympics.com/athletes/athlete=ryan-lochte/index.html LIBERTY TAX SERVICE For the office nearest you call 866-871-1040 or visit LibertyTax.com 38