March 10, 2006
March Madness: Congress Considering Taxing NCAA Sports Revenues
Interesting article in today's Chronicle of Higher Education: House Committee Is Looking Into Whether Some College Sports Revenue Should Be Taxed, Three College Officials Say, by Brad Wolverton:
A Congressional committee that oversees legislation affecting nonprofit organizations has opened an inquiry into a range of potential tax abuses in college sports, according to three college officials who have participated in the investigation....
Aides to the committee asked questions about whether certain revenue generated by college-sports programs and the National Collegiate Athletic Association should be treated as "unrelated business income" and taxed. According to the college officials interviewed by the committee's aides, lawmakers are concerned that big-time sports programs are evolving into commercial entertainment businesses that are only marginally connected to the tax-exempt purposes of higher education.
Committee aides also questioned the skyrocketing compensation of college coaches and other administrators in college sports, including athletics directors and top NCAA officials. And committee aides asked whether donors should be allowed to take any kind of tax deduction for making mandatory "contributions" to secure luxury-suite leases and seats to college-sports events.
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» March Madness, Baby! from The Club for Growth Blog
In time for March Madness (Go Jayhawks!), is this bit of drab news from the Tax Prof Blog: Congress Considering Taxing NCAA Sports Revenues.... [Read More]
Tracked on Mar 10, 2006 2:37:07 PM