MANILA, Philippines - Eight congressmen are now pushing for the bill seeking more tax exemption for prizes and awards given to Filipino athletes in internationally-sanctioned sports events.
The bill, authored by Buhay partlist Rep. Jose Atienza, said once passed, sportsmen will fully enjoy their earnings they won from the competitions.
The House bill 3506, or the "Tax Incentives for Professional Athletes Act of 2013" is co authored by seven other members of the House independent bloc--Reps. Ferdinand Martin Romualdez, Aleta Suarez, Lani Mercado-Revilla, Jonathan dela Cruz, Victor Ortega, Philip Pichay and Diosdado Macapagal Arroyo.
Atienza said there is an imperative need to amend the country's laws to extend tax incentives to professional Filipino athletes who brought honor and pride to the Philippines.
He said the recent tax controversy involving the country's national treasure and boxing icon Sarangani Rep. Emmanuel Pacquiao serves as an eye opener to extend tax incentive to any Filipino professional athlete who competes in any sports tournament sanctioned by any international organization.
"The declared State policy apropos the vital role of sports in nation-building was initially given impetus by the passage earlier of Republic Act 9064 as well as Sec. 32 B 7 of RA 8424, which however, limited the incentives given therein to amateur athletes.
"In this day and age, even the International Olympic Committee has found good reason to allow participation of professional athletes in events formerly limited to amateurs. Thus, the need to distinguish amateurs from professionals is no longer in vogue," said Atienza.
Atienza called on all athletes to exert their best while the State must in turn provide and grant adequate incentives apart from the prizes and awards.
"The participation of these sports personalities in nation-building are of equal import and significance," said Atienza.
House Bill 3506, now pending at the House Committee on Ways and Means chaired by Rep. Marikina Rep. Miro Quimbo, provides the State shall promote and encourage excellence in sports by providing tax incentives to professional athletes who bring honor and recognition to the country by winning In internationally sanctioned sports competitions and tournaments.
The bill states that the tax exemption shall apply to prizes and awards in all competitions earned 10 years prior to the effectivity of the proposed Act.
The tax incentives may be availed of or enjoyed by the winner-taxpayer who may have, or in connection with any pending assessments, tax cases or pending assessment charges or warrants and levy in the process of or yet to be implemented.
The bill also provides that any taxpayer who otherwise would have been exempt as provided for in the proposed Act, who has paid income tax for prizes or awards, or both, in internationally recognized competitions within the last 10 years of the Act shall be entitled to apply for tax credit.