The Paris 2024 Olympics have been a source of pride for Filipinos, after Carlos Yulo won gold in the men’s floor exercise and vault. This success has led to a significant outpouring of gifts and incentives from both the public and private sectors.
During the Tokyo 2020 Olympics, Hidilyn Diaz’s achievements also resulted in roughly P40 million worth of cash rewards and gifts from the private sector, in addition to the winnings provided by the government. Considering the size of the accumulated pledges, questions arose as to whether Diaz was liable for any taxes.
As clarified by the Bureau of Internal Revenue (BIR), Diaz’s government winnings and gifts from private individuals and corporations are excluded from income taxes under Section 32(B)(7)(d) of the Tax Code. She is also not liable for any donor’s tax, as the obligation to pay it falls upon the donors.
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