Overview
- The proposal would levy a 100% federal tax on specific income earned by U.S. nationals and lawful permanent residents who compete for designated foreign entities of concern.
- Covered nations are those listed under 10 U.S.C. 4872(d)(2), currently including China, Russia, North Korea and Iran.
- The draft targets two income streams: prize money from competition and sponsorship payments tied to representing a covered country.
- The definition of global athletic events includes the Olympics, the World Cup, the Tour de France, Wimbledon, and any contest where athletes represent countries.
- Ogles’ office says the IRS would use standard enforcement tools, while experts question constitutionality and effectiveness, and reporting notes the measure would not apply retroactively.