What about them?

The entire premise of paying athletes is not based on them "representing the university". It's based on the capitalistic idea that said athletes are providing a service that is bringing in profits.

That being said, most (if not all) programs outside of football and basketball for most universities do not operate at a profit. In fact, they operate at a loss and are subsidized by the football and basketball programs.

Here's another dilemma. Does the university's non profit tax status remain in place if they have "paid employees" that are generating profits? Per the IRS tax code, are players to be considered "1099" and subject to taxes on not only what they are being "paid", but the value of all the perks they are given for being student athletes? (free tuition, free books, free clothes, free food, free board, free medical care, free training, etc...)

It's not just a simple "Well let's just pay the players" situation.

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Posted by Mingo Was His NameO

Brooklyn

Member since Mar 2016

25455 posts

Posted on 6/23/18 at 2:59 pm to dcrews

quote:
Here's another dilemma. Does the university's non profit tax status remain in place if they have "paid employees" that are generating profits?

No non profits can bring in more than they spend.

quote:
Per the IRS tax code, are players to be considered "1099" and subject to taxes on not only what they are being "paid", but the value of all the perks they are given for being student athletes? (free tuition, free books, free clothes, free food, free board, free medical care, free training, etc...)

This ready isn't all that complicated.

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Posted by GeauxTigersLee

Atlanta

Member since Sep 2010

4644 posts

Posted on 6/23/18 at 10:37 pm to dcrews

quote:
The entire premise of paying athletes is not based on them "representing the university". It's based on the capitalistic idea that said athletes are providing a service that is bringing in profits.

Read up on title ix. The university receives federal financial assistance and therefore must treat all students equally. That means it doesn't matter about profitability of football/basketball vs women's soccer, they have to be paid equally.

If you are talking profitability, few schools generate "profits" except out of football. And most schools the athletics programs are so heavily subsidized that even football loses money, which is why schools were beginning to drop it, like UAB, until pressure forced them to reinstate it.

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