The Federal Board of Revenue (FBR) has clarified that national athlete Arshad Nadeem’s prize money will not be subject to taxation, dismissing recent rumors. Nadeem, who won gold at the Paris Olympics, not only achieved a historic victory by breaking a 118-year-old Olympic record but also brought Pakistan its first gold medal in four decades.
In recognition of his remarkable achievement, various governmental bodies—including federal, Punjab, and Sindh governments—announced different rewards for the Olympian. However, there were concerns that these rewards might be taxed.
FBR representative Bakhtiar addressed these concerns confirming that the prizes awarded to Arshad Nadeem will not be taxed. He explained that, according to the Income Tax Ordinance, Olympic prizes are exempt from taxation. Bakhtiar noted that while prize bonds, lottery winnings, quiz competition rewards, and sales promotion prizes from companies are taxable under Section 156 of the Income Tax Ordinance, this does not apply to the awards given to Nadeem.
The FBR spokesperson reiterated that Arshad Nadeem is celebrated as a national hero and assured that he will receive all necessary support to continue making Pakistan proud.
