Do players who win prize money in foreign countries have to pay tax in the U.S. and vice versa? What is Tiger Woods wins in Britain, does he have to pay taxes in U.S. When Federer won U.S. open did he have to pay both U.S. taxes and his country taxes??
2006-10-04 02:36:00 · 3 answers · asked by ohoho 1 in Sports ➔ Tennis
Every country is a little different, at least with the total amount you have to pay. But, in general, you do have to pay taxes in both countries. In the case of Tiger Woods, it is considered taxable income here in the US and taxable prize money there. So you get the old double screw action. Of course, in Tiger Woods case, I seriously doubt he cares.
2006-10-04 02:45:10 · answer #1 · answered by Blind Sighted 3 · 1⤊ 0⤋
Yes , you get banged over the head, that is why a lot of players change residents to a tax friendly nation during their careers.
2006-10-04 22:46:12 · answer #2 · answered by rlloydreilly 1 · 0⤊ 0⤋
Yes they have to double pay. In some tournaments, they will make arrangements so they pay for the tax, but almost all WTA tournies are a problem.
2006-10-04 12:17:10 · answer #3 · answered by aliasasim 5 · 0⤊ 0⤋