The Mississippi Senate Finance Committee denied House Bill 4014 on Monday, March 16, which would have removed income tax from name, image and likeness (NIL) deals for universities in Mississippi. The bill passed through the House of Representatives on Feb. 25 and was sent to the Senate on Feb. 26.
“I don’t know about the rest of you on this committee,” Senator Dean Kirby said at the meeting. “I’ve had several constituents that have called me that are not happy at all about this bill.”
Many people were opposed to the bill because it would only provide tax breaks to one group, while everyday people would still have to pay taxes.
The bill would have helped Mississippi colleges and universities recruit players more easily with a financial benefit, potentially making the Magnolia State a hotspot for the top college athletes in the country.
Players at six SEC schools — Florida, Arkansas, Texas, Texas A&M, Tennessee and Vanderbilt — already enjoy either tax exemptions on NIL earnings or no income tax at all. Arkansas specifically does not tax NIL income. While student-athletes can still be taxed on NIL income, Mississippi state income tax will be phased out by around 2040, so future student-athletes will not have to worry about taxes on their earnings.
