The IRS is Going for the Gold. Bob Bauman

I am a proud Marylander from the Eastern Shore, and like many Marylanders, I have been following closely Michael Phelps’s impressive performance at the London Olympic Games.
Phelps is a native of Baltimore, and I’ve been eager to watch him rack up many more medals in what he’s said will be his final Olympic Games.
As I cheered him on at home, Michael went on to claim three silver medals and one gold, making him the most decorated Olympian on record. He didn’t stop there, and by the time of his final race, he had three more golds.
When Michael returns to Baltimore, he will be met with cheering crowds, plenty of confetti and free access to the Inner Harbor, the National Aquarium and the entire Chesapeake Bay, if he’s in the mood to take another swim.
He will also have some unwanted bureaucrats waiting for him… agents of the U.S. Internal Revenue Service.

Tax the Gold, Silver and Bronze

It seems the U.S. Internal Revenue Service has its greedy eyes on every winning American athlete in London. That’s because a gold medal, worth about $650 at current gold prices, could cost athletes about $236 in taxes. While a bronze medal, which is worth $5, could only cost an athlete $2 in taxes.
As of this morning, U.S. athletes have won 30 gold, 19 silver and 22 bronze medals, for a total of 71, just behind China with 74 and ahead of the host United Kingdom with 48.

The real bite, however, is not medals, but the taxes to be taken out of Olympians’ cash bonuses. The U.S. Olympic Organizing Committee awards 2012 U.S. champions $25,000 for a gold medal, $15,000 for silver and $10,000 for bringing home a bronze.