Reports claimed that French medalists will receive ₹80,000 for gold, ₹40,000 for silver and ₹20,000 for bronze from their govt.
As Olympics 2024 concludes, Neeraj Chopra clinched a silver medal while Manu Bhaker, Sarabjot Singh, Swapnil Kusale and Aman Sehrawat brought home bronze. These athletes are being showered with cash, gifts and rewards, whether from government or other industrialists. But is this income also taxed?
Silver medallist India’s Neeraj Chopra celebrates on the podium during the victory ceremony for the men’s javelin throw athletics event during the Paris 2024 Olympic Games.(AFP)
Will cash or rewards gotten by Olympics from government taxed?
Reports claimed that French medalists will receive ₹80,000 for gold, ₹40,000 for silver and ₹20,000 for bronze from their govt but tax will be withheld. In India, cash or gifts from government are tax-free. As per Central Board of Direct Taxes (CBDT) rewards from the central or state governments to Olympics, Commonwealth or Asian Games medalists are exempt under Section 10 (17A) of Income-Tax (I-T) Act.
Manu Bhaker won two medals at Paris Olympics and Sarabjot Singh were awarded ₹30 lakh and ₹22.5 lakh, respectively which are likely to be tax free. Indian hockey team’s rewards from Punjab and Odisha state governments will also be exempt from taxes.
Similar rule in the US?
Yes, earlier the US taxed all its medal winners on value of their medals in addition to rewards. But in 2026, US athletes are only taxed on these if their annual income exceeds $1 million.
What about gifts and not cash? Will that be taxed?
A medal does not mean it is jewellery as it’s not a daily wearable item like a gold chain or necklace. Section 56(2)(x) of I-T Act states that movable property (as defined and specified) without consideration where aggregate value exceeds ₹50,000 is taxable. These include land, buildings, shares, securities and jewellery but medal is not mentioned.
News/Business/ Do Olympics medal winners pay taxes on gifts and rewards they get?
