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| Kenya athletes threaten boycott over tax | Kenya athletes threaten boycott over tax |
| (about 2 hours later) | |
| Some of Kenya's top athletes have threatened to stop representing their nation at international competitions like the Olympics over new tax laws. | Some of Kenya's top athletes have threatened to stop representing their nation at international competitions like the Olympics over new tax laws. |
| Wesley Korir, an MP and former Boston marathon winner, said athletes would end up paying tax twice as they already pay tax on their winnings abroad. | Wesley Korir, an MP and former Boston marathon winner, said athletes would end up paying tax twice as they already pay tax on their winnings abroad. |
| Addressing a forum of athletes in Eldoret, he said athletes only pocket about 15% of their earnings. | Addressing a forum of athletes in Eldoret, he said athletes only pocket about 15% of their earnings. |
| The move could also see many athletes changing nationality, he said. | The move could also see many athletes changing nationality, he said. |
| Kenya is home to some of the world's best middle- and long-distance runners. | |
| The Kenya Revenue Authority (KRA) wants prize-winning athletes to pay the top rate of tax - 30% - on their earnings from this month. | |
| 'Exodus' | |
| But addressing the meeting at the University of Eldoret grounds in Kenya's Rift Valley, Mr Korir said the authorities should see the athletes as an asset. | But addressing the meeting at the University of Eldoret grounds in Kenya's Rift Valley, Mr Korir said the authorities should see the athletes as an asset. |
| "The breakdown for taxation and deductions is as follows: 30 to 35% for the country of origin, 15% for the agent, 10% for the manager, and now the KRA wants to add salt to injury by slapping a 30% tax of that amount," the Reuters news agency quoted him as saying. | "The breakdown for taxation and deductions is as follows: 30 to 35% for the country of origin, 15% for the agent, 10% for the manager, and now the KRA wants to add salt to injury by slapping a 30% tax of that amount," the Reuters news agency quoted him as saying. |
| "On behalf of the athletes, I say no - we say no taxation," he said to applause, a Kenyan TV report shows. | |
| "When these athletes will stop going to the track to run, in the Olympics or the World Championships, that's when the importance of an athlete will be felt." | |
| Other countries tended to reward their athletes - and these punitive measures could have long-reaching consequences, the MP said. | |
| "Qatar pays Olympic medal in dollars… we are sounding the alarm that KRA may trigger a massive athletes' exodus," Kenya's Daily Nation newspaper quoted him as saying. | |
| Florence Kiplagat, a two-time world champion, agreed, Reuters reports. | |
| "If this matter goes on like this, I will defect to another country which will appreciate my effort," she said. | |
| "We are taxed abroad. Then we invest our remaining earnings here although the government does nothing to support us. We work hard to give this nation a positive image abroad yet we get nothing in return." | |
| Several high profile Kenyan runners have already switched their nationalities in recent years. | |
| Tax has put other sports stars off running in some countries, like Jamaican sprinter Usain Bolt. | |
| He only appears at events in the UK when the government gives a tax exemption, as the country not only taxes earnings, but also taxes a proportion of an athlete's global sponsorship income. |