Hidilyn Diaz's cash incentives and gifts from Olympic gold win are tax-exempt, but...
Weightlifter Hidilyn Diaz came home to a plethora of prizes, gifts, and incentives following her gold medal win at the Tokyo Olympics earlier this week. And the list of prizes she will receive from both government offices and the private sector continues to grow.
On Wednesday, July 28, President Rodrigo Duterte pledged to give Diaz P3 million and a house and lot in a government housing project in Zamboanga City. Those are aside from the P10 million she will receive from the Philippine Sports Commission and the earlier pledged monetary incentives from the likes of Manny Pangilinan of PLDT (P10 million), Ramon Ang of San Miguel Corporation (P10 million), Dennis of Udenna Group (P5 million), and House Deputy Speaker Mikee Romero (P3 million).
Of course, a question often arises when a Filipino wins a prize internationally: the matter of taxation.
Will Diaz be taxed for the prizes and incentives she has received for her Olympic win?
In a statement released on Wednesday, July 28, the Bureau of Internal Revenue explained that Diaz is exempt from paying the taxes for the P10 million cash incentive she will receive from the Philippine Sports Commission.
The gifts Diaz will receive from the private sector are not tax-exempt. However, it is the donor who should pay for the donor's tax of these gifts. Diaz, then, should receive the pledged cash incentives and gifts in full.
The statement added that the current donor's tax, under the TRAIN Law, is six percent in excess of P250,000.
And how is Hidilyn planning to spend the prizes and gifts she will receive? In an interview with ANC"s news program Headstart on Thursday, July 29, Hidilyn said she thinks it's only prudent not to talk about money in public, especially during the pandemic. She added that money is not the reason why she competes.
"Gusto ko lang manalo ng gold medal… pero thankful ako sa lahat ng nagbigay," she said.
Diaz added: "Hindi ko alam yung plano, pero alam ko na tutulong ako sa community.
Banner photo: The Philippines' Hidilyn Diaz reacts while competing in the women's 55kg weightlifting competition during the Tokyo 2020 Olympic Games at the Tokyo International Forum in Tokyo on July 26, 2021. Photo by Vincenzo Pinto/AFP