Michael Phelps Now A Tax Magnet With His Net Worth, May Become A Chinese Icon

Plutarc Sicat

Michael Phelps will be paying a huge tax for all the medals he won at the 2016 Rio Olympics, according to USA Today and MSN Money. The tax man will be collecting $55,000 from the most celebrated athlete of all time. The amount is almost like a penalty for winning five gold medals and one silver despite all the hard work Phelps has put in during the games.

Understanding that it is a deplorable disincentive to winning American athletes, a bill has been recently passed by the Senate in July last year. Senators John Thune, R-S.D., and Chuck Schumer, D-N.Y., sponsored the bill to eliminate taxes levied on Olympic and Paralympic athletes. However, according to Tom Carper, U.S. Senator for Delaware, a bill doesn't become a law after passing the Senate.

The bill still has a few more hurdles to go through which is far more complicated than an obstacles race. These remaining hurdles are the following.

There's also the question of what tax bracket Michael Phelps falls under as follows.

"The maximum possible 'victory tax' on the bonus for each gold medal, using the top tax rate of 39.6 percent for the nation's highest earners, is $9,900, according to Americans for Tax Reform. For silver, it's $5,940, and for bronze, it's $3,960. Athletes in lower tax brackets would owe less."

Bieber is worth $200 million, according to Time. Michael Phelps' net worth becomes even more diminutive when compared with Taylor Swift, whose net worth is $280 million according to Hollywood Take.

"The most decorated Olympian of all time is inspiring Chinese people to copy his warm-up routine," says the source.

Michael Phelps' cupping technique for combatting muscle fatigue did get some considerable media traction during the Olympics because the technique highlighted the round, red spots all over his body. However, it was his weird practice of stretching his muscles before jumping in the pool that got the Chinese talking non-stop on both Weibo and social media. BBC describes the technique as follows.

"Using all of his 6ft 3in (193cm) he somehow manages to wrap his hands around his back. Some have wondered if it's the stretching of his 80-inch wingspan that gives him his edge."