An Unusual Coalition: Five U.S. Senators Spark Bipartisan Effort on Student-Athlete Compensation

A group of five United States senators announced that they will be discussing the drafting of federal legislation addressing the compensation of college athletes. The five senators are: Cory Booker, D-New Jersey; Chris Murphy, D-Connecticut; Mitt Romney, R-Utah; Marco Rubio, R-Florida; and David Perdue, R-Georgia.

As we reported earlier, California became the first state to allow student-athletes to be compensated through endorsements or sponsorships. The NCAA was vehemently opposed to any efforts to mandate payment of college athletes and even threatened to ban California schools …

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U.S. Women’s Soccer Team Ordered to Reveal Sponsorship Income

In March 2019, the U.S. Women’s National Soccer Team (USWNT) filed suit against the U.S. Soccer Federation (USSF) in the U.S. District Court for the Central District of California. In their complaint, the plaintiffs alleged that the USSF violated the Equal Pay Act and Title VII of the Civil Rights Act of 1964 for paying the women’s soccer team players less than the U.S. Men’s National Team.

On October 28, 2019, the USSF filed a motion to compel disclosure. The USSF seeks documents from the …

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Ole Miss Persuades Tax Court Judge to Slash Tax Bill in Half, a Tax Victory for Athletic Programs

Ole Miss successfully convinced a tax court judge to reduce the university’s tax liability by 50 percent with respect to revenue the school brought in by sending its coaches to Nike and Coca-Cola sponsored functions.

In August 2015, the IRS notified the university that the income received for these appearances were taxable under IRC sections 511-513, because it constituted “unrelated business income” for exempt organizations. Ole Miss responded by filing a petition with the tax court disputing its tax liability in late 2015, arguing the …

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