NCAA president Charlie Baker agrees with the IRS’s assessment that donations to nonprofit NIL collectives are not tax deductible, while he also emphasized that stricter NIL rules could be on the way.
On Friday, the IRS Office of the Chief Counsel published a memo suggesting that donations made to nonprofit NIL collectives “are not tax exempt” because the benefits they provide college athletes are “not incidental both qualitatively and quantitatively to any exempt purpose.”
After his address Tuesday to thousands of college administrators here at the annual National Association of Collegiate Directors of Athletics event, Baker agreed with what he termed a “ruling” from the IRS.
