Why is the NFL Tax Exempt?
- Thread starter Blumpkin
- Start date
zitothebrave
Connoisseur of Minors
"While Public Law 89-800 was being negotiated with congressional leaders, NFL lobbyists tossed in the sort of obscure provision that is the essence of the lobbyist’s art. The phrase or professional football leagues was added to Section 501(c)6 of 26 U.S.C., the Internal Revenue Code. Previously, a sentence in Section 501(c)6 had granted not-for-profit status to “business leagues, chambers of commerce, real-estate boards, or boards of trade.” Since 1966, the code has read: “business leagues, chambers of commerce, real-estate boards, boards of trade, or professional football leagues.”"
Here's a big list of why the NFL is ridonkulous
[video]http://www.theatlantic.com/magazine/archive/2013/10/how-the-nfl-fleeces-taxpayers/309448/[/video]
50PoundHead
Hessmania Forever
The teams themselves aren't tax exempt, but I can see the logic (although I disagree with it violently) as to how the league's governing organization can be construed (barely) as a non-profit organization. Just another example of "lobbyist magic."
I don't imagine that there were too many free tickets handed out to help secure the tax-exempt status.
I don't imagine that there were too many free tickets handed out to help secure the tax-exempt status.
50PoundHead
Hessmania Forever
Oh, don't get me wrong. I agree with you. It's just that the non-profit loophole is so vague that it's rife with cheaters claiming the status. What makes this one so outrageous is that the NFL knew it needed legislation because any scrutiny would have denied the status. That's not to say that some trade associations snuggle up close to this same problem.