House Approves Bill Exempting Athlete Rewards from Tax and Other Fees
The House of Representatives approved a bill that exempts donations and rewards given to Philippine athletes from tax and other fees.
House Bill (HB) No. 9891, also known as the Hidilyn Diaz Act of 2021, excludes rewards, bonuses, donations, and other forms of emoluments given to Filipino athletes from tax and other fees.
Additionally, HB No. 9891 will amend Republic Act (RA) No. 10699 or the National Athletes and Coaches Benefits and Incentives Act.
House of Ways and Means Committee Chairman Joey Salceda and House Speaker Lord Allan Velasco created the bill after Hidilyn Diaz secured the gold medal in the Women’s 55-kilogram category for Weightlifting in the 2020 Summer Olympics in Tokyo, Japan.
Diaz’s victory was followed by numerous donations from the private sector from cash, houses, and free flights to name a few.
Under RA No. 10699, tax exemptions of rewards and prizes given to athletes were only limited to state-provided rewards. The former act was unclear whether or not a part of the grants made by private companies to Diaz was taxable.
With the approval of HB No. 9891, all forms of rewards and donations offered to athletes from private companies are now excluded from tax.
However, the tax exemption rule only applies to rewards given to athletes who participate in international sports competitions.
Hidilyn Diaz’s record-breaking lift awarded her with first place, claiming the Philippines’ very first gold medal in Olympics.
Meanwhile, fellow Filipino athletes who participated in the Olympics secured two silver medals and one bronze in Boxing in various categories. This placed the Philippines as the top-performing Southeast Asian country in the 2020 Tokyo Olympics.