Cash incentives, bonuses, rewards, and other forms of emoluments given to Olympic medalists and their coaches would be exempt from taxes once the proposed measure filed by Senator Pia Cayetano is enacted into law.
As this developed, Senator Risa Hontiveros filed Senate Resolution No. 822 to honor Nesthy Petecio, the first Filipina Olympic boxing medalist.
Hontiveros said Petecio should be recognized for winning a silver medal in the women’s featherweight division at the Tokyo 2020 Olympics.
Cayetano’s Senate Bill No. 2341 seeks to amend the National Athletes and Coaches Benefits and Incentives Act.
“While incentives received by the athletes are exempted from tax as provided for in Sec. 32 of the National Internal Revenue Code, those received from the private sector are still subject to the six percent (6%) donor’s tax,” said Cayetano in her measure’s explanatory note.
Under the bill’s proposed amendments, she noted that cash incentives, bonuses, rewards, and other forms of emoluments received by Olympic medalists and their coaches, whether from the government or from private sectors, “shall be exempt from any and all taxes, fees, and charges levied by any government agency, local or national, subject to the rules and regulations to be issued by the secretary of finance, as recommended by the commissioner of internal revenue.”
If passed into law, the bill would have a retroactive effect, meaning the national athletes and coaches who won in the Tokyo Olympics will also be covered.
Cayetano’s bill comes after weightlifter Hidilyn Diaz and boxer Nesthy Petecio clinched the gold and silver medal, respectively, in the Tokyo Olympics.
For her historic gold medal win, Diaz is poised to receive cash incentives worth more than P35 million, including other perks.
Petecio is set to receive at least P17 million in cash incentives.
Meanwhile, boxers Eumir Marcial and Carlo Paalam are both assured at least a bronze medal in the Olympics.
Hontiveros’ bill noted that Petecio is the first Filipina boxer to place in the Olympics. This will also be the first time in 89 years that the country will bring home more than one medal.
“Babae, sakalam! Filipinas making history twice in a row comes as no surprise,” said Hontiveros.
“We are made of tough stuff. Hidilyn showed us it was possible, and Nesthy showed us that it’s just who we are. Nesthy punched through the glass ceiling for so many Filipino girls and members of the LGBQIA+ community who dream to represent us in the world’s greatest sporting event,” she said.
Hontiveros noted it would be an important move for the Senate to honor Petecio to “officially mark Filipinas’ important place in history and in sports.”
“We all witnessed history unfold. We should take the opportunity to honor women when we triumph in spaces where men rule,” she said.
She stressed Hidilyn and Nesthy embody the best of Filipino elite athletes: bold and fierce, outspoken in advocating their fellow athletes, and undeterred by the challenges thrown their way.
“Generations of Filipinos are going to remember their names. Their stories deserve to be told forever,” she said.