Professional athletes (and other entertainers, I believe) pay taxes in the states they play games in (if they have an income tax) - not just their state of residence/domicile. Will college athletes also be required to? If so, I can see players trying to avoid NY, NJ and other high tax states.
Tom - most states have prop athletes, entertainers, and anyone living in the state earning an income pay employment taxes. Many states also have "jock taxes" to earn the state income from any road games checks athletes earn. Meanwhile universities, I believe, pay simple employment taxes but students don't pay income tax. That may change with NIL.
Whether these college athletes will have to pay "jock taxes" is another question I never thought of. Good point by you that Florida and Texas schools may get a big advantage in recruiting because of no state income tax. Meanwhile Dartmouth and UNH may become powerhouses.
I can envision players claiming injuries in high tax states so that by being unavailable to play they will avoid paying the tax. There are a lot of moving parts here and there will be second and third order effects that we don't understand at this point - and I don't think they will be good ones.
Professional athletes (and other entertainers, I believe) pay taxes in the states they play games in (if they have an income tax) - not just their state of residence/domicile. Will college athletes also be required to? If so, I can see players trying to avoid NY, NJ and other high tax states.
Tom - most states have prop athletes, entertainers, and anyone living in the state earning an income pay employment taxes. Many states also have "jock taxes" to earn the state income from any road games checks athletes earn. Meanwhile universities, I believe, pay simple employment taxes but students don't pay income tax. That may change with NIL.
Whether these college athletes will have to pay "jock taxes" is another question I never thought of. Good point by you that Florida and Texas schools may get a big advantage in recruiting because of no state income tax. Meanwhile Dartmouth and UNH may become powerhouses.
I can envision players claiming injuries in high tax states so that by being unavailable to play they will avoid paying the tax. There are a lot of moving parts here and there will be second and third order effects that we don't understand at this point - and I don't think they will be good ones.
Suddenly star players get the "flu" and can't travel to those states. Maybe back spasms. Can almost see it happening