KUALA LUMPUR: Making the National Sports Incentives Scheme (SHAKAM) tax free will certainly motivate Malaysian athletes to train harder for success, said sports observer Sadek Mustafa.
Prime Minister Datuk Seri Anwar Ibrahim made the announcement during the 2025 Budget presentation on Friday.
So, athletes won't be taxed for the cash rewards given when they win medals at the Olympics, World Championships, Commonwealth Games and Asian Games.
A gold medal at the Olympics or Paralympics is worth RM1 million in reward, a silver, RM300,000, and a bronze, RM100,000.
Sadek said as most athletes don't earn high salaries, the tax exemption would be a boost if they win medals for Malaysia.
"This is a good sign for people to make sports a career. If they are successful at international level, they will be rewarded well," said Sadek, a senior lecturer in Sports Science and Recreation at Universiti Teknologi Mara.
"This announcement can spur athletes to push themselves further for excellence. The national sports associations (NSAs) should educate their athletes from the lower level about the progression to international high performance level.
"There must be a clear direction to make our athletes world class and capable of winning medals. It's pointless to reward if our athletes cannot achieve sporting excellence."