Olympians could owe IRS thousands in taxes on medals

Published On: Aug 02 2012 06:20:14 PM CDT

For the American Olympians in London, winning a medal is a dream turned into a reality, but it's also a costly accomplishment.

According to the Americans for Tax Reform Foundation, athletes are liable to pay income tax on medals earned the games.

In addition, prize money the U.S. Olympic Committee gives out for earning each medal, $25,000 for gold, $15,000 for silver and $10,000 for bronze, is currently taxed as well.

Fla. Sen. Marco Rubio said he believes the taxation is pretty stupefying and introduced a bill on the floor on Wednesday that would eliminate the tax American athletes must pay for their work in London.