The Federal Board of Revenue (FBR) has officially clarified that no withholding tax will be imposed on the prize money awarded to national athlete Arshad Nadeem. The Olympian, celebrated as a national hero, will receive full support from the authorities, ensuring that his well-deserved rewards remain untouched by taxes.
Speaking to The Express Tribune, FBR member and spokesperson Bakhtiar Muhammad stated, “There will be no tax on the prize money given to Arshad Nadeem. The income or withholding tax does not apply to such awards.” He elaborated that, under Section 156 of the Income Tax Ordinance, there is no provision for taxes on Olympic rewards, which are distinct from other taxable winnings like lottery prizes, prize bonds, and marketing-related schemes.
“Arshad Nadeem is a national hero, and we will extend all possible support to him,” Bakhtiar added, dismissing rumors that the rewards announced by the federal, Punjab, and Sindh governments for Nadeem’s exceptional performance would be taxed.
Nadeem recently made history by winning Pakistan’s first-ever Olympic gold medal in athletics, securing the top spot in the men’s javelin throw at the 2024 Paris Games. His victory, particularly against defending champion Neeraj Chopra of India, has elevated him to the status of a national icon. Setting a new Olympic record with a throw of 92.97 meters, Nadeem has become an inspiration for the youth of Pakistan.
In recognition of his historic achievement, Nadeem has been showered with rewards. Punjab Chief Minister Maryam Nawaz announced a generous Rs100 million reward, while the Sindh government pledged an additional Rs50 million. Sindh Governor Kamran Tessori, singer Ali Zafar, and cricketer Ahmed Shahzad each contributed Rs1 million, while Karachi Electric (KE) added Rs2 million. Furthermore, the World Athletics Federation will award Nadeem a US$50,000 winning prize.
The FBR’s clarification has put to rest any concerns about taxation on these rewards, ensuring that Arshad Nadeem’s contributions to the nation will be fully recognized and honored.
