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And Now A Closet Full of Shoes Will Drop

g8rh8rMD said:
That's a bad argument. People are forced to pay tax all the time on things that they don't get "income" from. Default on a loan? You get taxed on the forgiven debt. Inherit your childhood home or the family farm when mom and dad pass away? You better be prepared to pay the tax man for the value of that inheritance.

As I mentioned in a previous post. I don't think any states will actually pass such laws taxing the value of the scholarship, but it's because those laws will not be popular, not because you can't tax it. The government can do whatever the fvck it wants, it has all the guns and all the jails. That's why democracy is the least bad form of government, because at least a democracy is, in theory, accountable to the will of the people.
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I never understood the whole student athlete thing.
My nephew had 100% bright futures scholarship to UF. On top of that he went full crazy and applied to like 40 scholarships and got like 15 of them. He went online and looked for all these obscure scholarships that barely anyone applied for. On top of that he worked at some rehab hospital as an interpreter. I walked into his room and I thought he was selling weed. Mfer had a surround system 55” led. A huge gaming console and a new civic si.
His mom was a housekeeper and no way could afford any of that. Meanwhile student athletes can’t even open up a **** lemonade stand without being ineligible.
 
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duke4heisman said:
I know the laws are tricky but the whole reason they can't pay taxes is the same as why they can't get a job. They're not making actual money and are full time students, as well as full time athletes. It wouldn't be possible for them to pay taxes, unless they do some type of deferment plan. Like I said, whatever they make on the side, obviously is fair game but I don't see it on the scholarship; at least not while they're in school.
However, the crooked politicians are mad because now someone can make a few bucks and they want a piece. Nothing would surprise me in Washington.
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Right but what you are saying is just not true. Is their "income" likely below the threshold to pay taxes? Maybe...probably... That was $12k in 2018 IIRC. Does the fact that you can't pay taxes matter? No. Taxable income is taxable income and your tax due is your tax due. If you spend all of your money and can't pay your taxes, the IRS is not just going to waive that amount. If they make $15k off of endorsements but spend it all, the IRS will not care if they have the money in your account to pay.

I have no idea what the financial aid, scholarship, etc. agreements say about room and board or how this is not services in exchange for scholarship. But if the IRS suddenly wants to change their mind and say that it is, then their taxable income will be the endorsements plus the scholarship, room and board, and everything else.

The bottom line is this is going to be a mess at first and there are so many layers to the onion it is comical. I am all for players getting paid for their work, but this has some far reaching ripple effects, many of which people probably have not even thought of yet.
 
SFbayCane said:
If this comes to fruition, one has to guess that private universities like UM would be hit the hardest as they're the most expensive.
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BINGO!

with that said.....Out of State tuition fees are same as private school costs....so....interesting how Bama, etc gets that worked out...

my guess is that each student applies for state residency ASAP upin enrollment...but then that can hace family issues....

oh the baggage...
 
I am very curious how this will play out for the university of Miami.....

I think this will favor us more than any other universities. I can give a list of things but I will keep it a short 5.

1.) Private School -Tuition is higher than most so the pay for play has to be granted higher for recruits I would imagine definitely not less.
2.) No state Income tax-Winning (Ask the Miami Heat Organization they sell it very well ) Speaking of... Bois Ballin GO HEAT! #HeatNaaation! lol
3.) Miami Billion dollar boosters, Alumni , Former Players, Adidas - Stack Chips
4.) Renovation ongoing at the University, Facilities, Dorms, Class rooms Etc.... It's really paradise , it's like a resort! ( I took couple kids on some visits many times)
5.) The City of Miami- Lifestyle , Culture , Market Enough said!

Game Changer and the college football world knows this.
Go Canes!
 
wspcane said:
Right but what you are saying is just not true. Is their "income" likely below the threshold to pay taxes? Maybe...probably... That was $12k in 2018 IIRC. Does the fact that you can't pay taxes matter? No. Taxable income is taxable income and your tax due is your tax due. If you spend all of your money and can't pay your taxes, the IRS is not just going to waive that amount. If they make $15k off of endorsements but spend it all, the IRS will not care if they have the money in your account to pay.

I have no idea what the financial aid, scholarship, etc. agreements say about room and board or how this is not services in exchange for scholarship. But if the IRS suddenly wants to change their mind and say that it is, then their taxable income will be the endorsements plus the scholarship, room and board, and everything else.

The bottom line is this is going to be a mess at first and there are so many layers to the onion it is comical. I am all for players getting paid for their work, but this has some far reaching ripple effects, many of which people probably have not even thought of yet.
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I understand what you're saying but they literally are not allowed to get a job. I'm not arguing about the side money, the scholarship, room and board etc would be far greater (especially at Miami) than an athlete can make on the side. It's literally impossible for them to pay it; at least not until they get out of school
 
duke4heisman said:
I understand what you're saying but they literally are not allowed to get a job. I'm not arguing about the side money, the scholarship, room and board etc would be far greater (especially at Miami) than an athlete can make on the side. It's literally impossible for them to pay it; at least not until they get out of school
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I get it and understand 100%. I spend way more time on the phone with the IRS than I would like and am just saying it from that perspective (i.e. the bureaucratic one that gives no weight or regard to common sense, life factors, the real world, or anything else that makes us human beings instead of taxpayer identification numbers).
 
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Two points . One thing I would like to see would be you can't sign an endorsement deal until after your freshman year of college. That way it would keep it somewhat like it is now regarding recruiting. Yes I know bags are being dropped now. Just image giving one of these divas $100k endorsement deals right out of high school, and saying i"m going to sit this one out coach or I'm done playing after the 4 games.. You think the bowl games are bad with players sitting out it is going to get worse with all these entitlement kids
 
Well as a CPA my first reaction to this is that kids who grow up in states like Florida and Texas that have NO state tax are going to have a huge advantage . That advantage multiplies and extends even more so to SCHOOLS in those states.

It's still early, but I'm guessing this is going to be one of those topics where the feds basically push the decision down to each state. Once those decisions are put on paper and precedent is set, maybe the Fed revisits it....but then again maybe they don't.

So in theory, this should help Miami, UF, FSU, Texas, and Texas A&M.
 
SFbayCane said:
**** a whole lot of Senator **** Burr. How much money is he taking from people connected to the ACC? Just another criminal piece of schitt serving in DC.
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So if they are making money off their likeness, etc., they shouldn't get taxed on that? Why? Sure our current tax system is evil, but I have to pay them and so should they.
 
SFbayCane said:
If this comes to fruition, one has to guess that private universities like UM would be hit the hardest as they're the most expensive.
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Private schools arent subsidized by state tax dollars. I think the point of the bill is that state taxpayers shouldnt be fitting the bill for an athlete making tons of money.
 
Empirical Cane said:
"regular" students arent receiving compensation for their likeness, etc, so likely to remain exempt
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What about students creating and selling a product while in college? If a scholarship computer science student creates and sells a smartphone app is the scholarship now income? If not, what's the difference?

A lot of interesting questions in this new era.
 
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TemplarCane said:
What about students creating and selling a product while in college? If a scholarship computer science student creates and sells a smartphone app is the scholarship now income? If not, what's the difference?

A lot of interesting questions in this new era.
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BINGO.

Page and Brin say hello!
 
ScubaCane said:
So if they are making money off their likeness, etc., they shouldn't get taxed on that? Why? Sure our current tax system is evil, but I have to pay them and so should they.
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They should most certainly get taxed on earnings from their likeness. But its my understanding that Senator ****Burr is saying he wants to tax THEIR SCHOLARSHIP if they choose to make money on their likeness. That is where I take issue.


As a former D1 college athlete I argued this stuff back in the 1980's. A kid on a music scholarship can release an album (i.e.: making money on his scholarship'd skill and likeness) and its not an issue. A kid on academic scholarship can make money tutoring other students and its not an issue. But as a scholarship soccer player I was precluded from making money doing soccer camps with my former club team in the off-season.
 
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