Has anyone heard about this?

[Okie]

There should already be an IRS reporting requirement . Ive never seen anything that said NIL earnings are exempt from income tax.

One twelfth of Niko and others compensation.will be subject to NC, Oklahoma, Arkansas and Georgia state income tax also.

Isn't that only if they "earn" the money in the state (non- TN)? I know pro players have to pay taxes on the % of their earnings in each state where they play a game, but they are paid for playing the game. I thought NIL could not be tied in any way to performing in a game? I may be wrong.

 

[Remy]

I don’t see this as a function of capitalism, but rather a hindrance to it.

I totally agree. Prior to NIL, the players were nothing more than indentured servants. THERE WAS NO MARKET ALLOWED FOR THEM NEGOTIATE $s FOR THEIR SERVICES. THEY COULD NOT EVEN MARKET THEIR OWN LIKENESSES.

 

[LWSVOL]

There should already be an IRS reporting requirement . Ive never seen anything that said NIL earnings are exempt from income tax.

One twelfth of Niko and others compensation.will be subject to NC, Oklahoma, Arkansas and Georgia state income tax also.

there is and they do file taxes. When NIL was setup, schools were allowed to provide tax filing advice to players.

 

[LWSVOL]

Isn't that only if they "earn" the money in the state (non- TN)? I know pro players have to pay taxes on the % of their earnings in each state where they play a game, but they are paid for playing the game. I thought NIL could not be tied in any way to performing in a game? I may be wrong.

your right from an NIL standpoint but with the settlement, schools now are allowed (once it is all finalized) to pay players. That beings the state income tax into play IMO

 

[wmcovol]

It's in a couple of other schools' fan pages.

It sounds like it violates the injunction in the Tennessee vs NCAA case. More desperation tactics by the NCAA?

I may be wrong but I believe this isn’t in compliance with the SC ruling of no restrictions. Certainly not the first case of the NCAA doing something they know won’t stand up.

Also, I do not think Tennessee players are subject to OOS income taxes since the current payments are not per game wages like NFL salaries are. The NIL deals are not multi state unless the player signs a deal with an OOS firm. JMO

 

[Savannahbayvol]

your right from an NIL standpoint but with the settlement, schools now are allowed (once it is all finalized) to pay players. That beings the state income tax into play IMO

Interesting good points guys, thx.

 

[unfrozencvmanvol]

Having been born with different eyes, we're bound to see a lot of things differently.
In my realm, capitalism and greed are bosom buddies, not by necessity, rather it's that
way due to human nature.

Oh, I looked over the dollar, and what did I see?♬
Lots of dead Presidents marching to me.♬

And it's also due to human nature that other economic systems don't really work.

 

[WoodsmanVol]

And it's also due to human nature that other economic systems don't really work.

That's the truth. There has been times I stated this, as it relates to communism (not the (political version), monarchies, etc. But the folks signed, sealed, and delivered in capitalism explode at the very thought. It should be obvious that humans warp any system for personal or ethnic benefit. Just look at religions, peace treaties, heck, even the Supreme Court. So it's no surprise to see the jockeying in the NIL matter. Humans gonna human, no matter what.

 

[adam.vol]

One twelfth of Niko and others compensation.will be subject to NC, Oklahoma, Arkansas and Georgia state income tax also.

Yet people keep voting for government spending..

 

[GetYouSomeofThat]

There should already be an IRS reporting requirement . Ive never seen anything that said NIL earnings are exempt from income tax.

One twelfth of Niko and others compensation.will be subject to NC, Oklahoma, Arkansas and Georgia state income tax also.

Let me preface this statement by saying i am not a tax expert, nor and NIL expert.

However, the monies paid out by the collectives would all happen for appearances inside the state of Tennessee and thus not taxable by the player traveling to and playing in other states.

If the schools are paying the players, that would be a different story, i assume.

 

[WillisWG]

There should already be an IRS reporting requirement . Ive never seen anything that said NIL earnings are exempt from income tax.

One twelfth of Niko and others compensation.will be subject to NC, Oklahoma, Arkansas and Georgia state income tax also.

Don't think we're there on S-A paying state income tax on games played in states with state income tax but down the road may.

However Nico may owe states' sales tax from sales from his online business.

 

[37620VOL]

There should already be an IRS reporting requirement . Ive never seen anything that said NIL earnings are exempt from income tax.

One twelfth of Niko and others compensation.will be subject to NC, Oklahoma, Arkansas and Georgia state income tax also.

That's not necessarily true, in fact probably not true at all.

 

[37620VOL]

Don't think we're there on S-A paying state income tax on games played in states with state income tax but down the road may.

However Nico may owe states' sales tax from sales from his online business.

Businesses don't pay sales tax, they collect it from customers, then remit to the state.

 

[37620VOL]

I'd be surprised if some athletes aren't using S Corporations to avoid some of these taxes.

 

[SayUWantAreVOLution]

I've seen this since NIL started: OMG!!! What about the taxes????

A few years in and maybe I've seen one or two stories about athletes really getting screwed by lousy NIL deals.

It's pretty simple. These deals are put together and funded primarily by collectives who have "close ties" to some very wealthy, very tax savvy donors.

They don't want their collective to look like it rips kids off and screw up what recruiting has become. I'm sure they take care of setting it up as tax efficiently as the family will allow.

I recall a kid transferred from aTm and posted for guys looking at aTm to get with him because they had language to "claw back" NIL money when he transferred. That was a lousy look for aTm.

There's absolutely zero to be gained for a school or collective to place athletes in a bad tax situation with NIL. I'm sure the rich guys handing out the lion's share of the money have it covered.

 

[WillisWG]

Businesses don't pay sales tax, they collect it from customers, then remit to the state.

"However Nico may owe states' sales tax <collected> from sales from his online business." He will owe it until the payment is remitted. That is if his business is required to collect the sales tax. Ex in Virginia an online business is not required to unless it expects to have 200 plus transactions or $100K in gross annual sales.

thanks for your input

 

[S.C. OrangeMan]

Don't think we're there on S-A paying state income tax on games played in states with state income tax but down the road may.

However Nico may owe states' sales tax from sales from his online business.

The customers pay the sales taxes. The business simply collect it and forward it to the state and local taxing jurisdictions.