The Philippines’ House of Representatives has approved on second reading House Bill No. 10723, which seeks to exempt rewards and gifts received by national athletes as well as their coaches from taxation.
In a “viva voce” or “voice vote,” congressmen supported the exemption of all incentives and rewards from all national or local taxes, fees and charges to encourage private companies to make donations to support the athletes’ training and development.
“Provided, however, that donations, gifts, endowments, and contributions made prior to the competition itself and directly and exclusively used to fund training and competition-related expenses, as well as incentives, rewards, bonuses and other forms of emoluments received by competing or winning national athletes and coaches, shall be considered as allowable deductions from gross income for purposes of computing the taxable income of the donor in accordance with the provisions of the National Internal Revenue Code of 1997, as amended,” the bill said.
Once signed into law, it will amend Republic Act No. 10699 or the National Athletes and Coaches Benefits and Incentives.
