NCAA to Allow Players to be Compensated for their Names, Likenesses, and Images

[Beau Vine 53978]

19 minutes ago, 27-25 said:

And concerning other posts that bring up the tax angle and whether the kids will be able to navigate it, it's an entirely different world than most of us were exposed to with our first job.  Taxes get withheld by the store you work for.  You file, 1040EZ for the win, to get a refund.  That's easy as it gets, IRS wise.

I'm 54 and have navigated taxes for decades.  What exactly are the tax implications for an individual receiving lots of free stuff for a tweet or post?  I'm sure there is one, but I have no idea how to file that.  Some 18 year old kid likely doesn't as well.

About 80% of college students work jobs where the majority of the pay comes in form of tips, whether they're bartenders, waiters, or strippers.  Maybe you should ask one of them.  

[Beau Vine 53978]

42 minutes ago, Dr Fear said:

There may be some child endangerment issues with using a kid as a canary in a coal mine for custom pharmaceuticals though.

No worries, that was Case.

[Enchubben 5509]

3 hours ago, General Specific said:

Wonder how that’s taxed?

Fair market value of goods and services.

And a number of states currently, or will be shortly, imposing sales tax on digital advertising services. 

But I’m sure a bunch of football players at Nebraska and Syracuse will be lining up to register and collect/pay sales tax on their tweets.

[Beau Vine 53978]

2 minutes ago, Enchubben said:

But I’m sure a bunch of football players at Nebraska and Syracuse will be lining up to register and collect/pay sales tax on their tweets.

Social media influencing is not exactly a nascent industry.  How many Instagram stars have been hauled into tax court that you know of? 

[GabrielsHorn 2142]

 

[oldhorn2 430]

1 hour ago, 27-25 said:

Fuck Reggie Bush.

And concerning other posts that bring up the tax angle and whether the kids will be able to navigate it, it's an entirely different world than most of us were exposed to with our first job.  Taxes get withheld by the store you work for.  You file, 1040EZ for the win, to get a refund.  That's easy as it gets, IRS wise.

I'm 54 and have navigated taxes for decades.  What exactly are the tax implications for an individual receiving lots of free stuff for a tweet or post?  I'm sure there is one, but I have no idea how to file that.  Some 18 year old kid likely doesn't as well.  The can of worms has been opened and UT, and other schools, had best be prepared to help the student athletes navigate this minefield or there may be some ineligible players next season for reasons we had not seen up to this point.

aww hell.....just let their agent worry about all that.oh.....they cant have an agent?....I smell law suit coming....

[GringoSalado 1651]

1 hour ago, Beau Vine said:

About 80% of college students work jobs where the majority of the pay comes in form of tips, whether they're bartenders, waiters, or strippers.  Maybe you should ask one of them.  

?

The only difference I can think of is the withholding % is higher to make up the diff.

[GringoSalado 1651]

1 hour ago, Enchubben said:

Fair market value of goods and services.

 

I thought trade-outs (barter) were not taxable?

[Hook1997 5270]

Barstool Sports signing a bunch of hot girl college athlete including UT’s own Lauren Burke. 

[PittsburghTiger 6137]

I support the athletes with all of this because the NCAA is so incredibly evil and corrupt.

Does anyone know if the players who make money off of their likeness and image will have to pay the schools any money if they use pictures of themselves in uniforms, helmets, with the school mascot, etc.?

I guess obtain a license to use the school's trademarked logos and such?

[conVINCEd 21468]

1 hour ago, Hook1997 said:

Barstool Sports signing a bunch of hot girl college athlete including UT’s own Lauren Burke. 

[tx 3 putt 76294]

They won’t be in college logo’d gear 

[perfectchaos007 6596]

1 hour ago, Hook1997 said:

Barstool Sports signing a bunch of hot girl college athlete including UT’s own Lauren Burke. 

Dave Portnoy is signing all the hot coeds so he can host a summer time brand ambassador pool party at his house. Not to speculate too much but I feel like he may be thinking of creating a Hooters calendar equivalent featuring the hottest NCAA athletes in bikinis. Since "adult content" sponsors are banned by most NILs this is as close as it will get. 

[TwiceHorn 31240]

5 hours ago, utee94 said:

And in the meantime, back-channel communications will take care of the information gap.  

The good ol agreement to agree.  Yes.  There will be many of them.

[Hmmm 155]

"We Ain't Come to Play School." 

The future.

[Bama Llama 1447]

NIL deals will put states' Protected Persons laws to the test.  In protected person cases, the petitioner does not have to prove a lack of mental capacity.  These typically originate in probate court; if a petitioner shows that the "person alleged to be in need of protection" is unable to manage their money or other property because they're dependent on drugs or alcohol, a spendthrift, susceptible to undue influence, or just a hapless dumbass, the judge can literally impose a trust out of thin air and appoint a trustee to administer the PATBINOP's assets and income.  This action usually arises just before a doofus, druggie, alkie, or easily-led patsy inherits a truckload of cash or securities, and the PR/executor who has been dealing with the person for months or years takes action to prevent "entourage predation" and waste.  There are parallels in the coming storm of NIL deals.  Probate Court is about to get even more interesting, as will the upstream removals to higher courts and appeals. Hooefully, in the end, the young people actually WILL be protected.

[BurntOrange&White 39567]

13 hours ago, 27-25 said:

Fuck Reggie Bush.

And concerning other posts that bring up the tax angle and whether the kids will be able to navigate it, it's an entirely different world than most of us were exposed to with our first job.  Taxes get withheld by the store you work for.  You file, 1040EZ for the win, to get a refund.  That's easy as it gets, IRS wise.

I'm 54 and have navigated taxes for decades.  What exactly are the tax implications for an individual receiving lots of free stuff for a tweet or post?  I'm sure there is one, but I have no idea how to file that.  Some 18 year old kid likely doesn't as well.  The can of worms has been opened and UT, and other schools, had best be prepared to help the student athletes navigate this minefield or there may be some ineligible players next season for reasons we had not seen up to this point.

Why does Reggie Bush think what he and his family did is the same thing as NIL? Actually a brain dead argument.

[Beau Vine 53978]

8 hours ago, Hmmm said:

"We Ain't Come to Play School." 

The future.

That's actually the past.  And the present.  

[LonghornSean 3941]

 

[ChickenSandwich 9798]

Who is to say what is legit and not in the self promotion, social media game?  Influencers make crazy money for stupid shit all of the time. They will either make money or lose $2million. Who gives a shit. 
 

If there is a market, more power to them. If not, who loses?

Edited July 2, 2021 by ChickenSandwich

[ouflak 60]

1 hour ago, Beau Vine said:

  

9 hours ago, Hmmm said:

"We Ain't Come to Play School." 

The future.

That's actually the past.  And the present.  

I can't think of a time when that wasn't the case. All student athletes attending institutions of higher education purely for the love of learning, to acquire knowledge (and perhaps also further it via research) and training to participate in, and even advance, society? Maybe that one time when Stanford was able to recruit all of those 3* middle linebackers that went on to become MD's. Maybe.

[BurntOrange&White 39567]

 

[Tex-19 2869]

4 minutes ago, BurntOrange&White said:

 

Free for all. NCAA is a pro sport now.

[UTEX_ME 4754]

LOL 

[CooterBrown 17901]

35 minutes ago, UTEX_ME said:

LOL 

Change the color by one number and you're fine and probably closer to burnt orange than our uniforms.

[OnAComputer 1405]

Using NIL the way God intended

https://twitter.com/agent0__/status/1410990856883015683?s=21

[ChickenSandwich 9798]

1 hour ago, ouflak said:

I can't think of a time when that wasn't the case. All student athletes attending institutions of higher education purely for the love of learning, to acquire knowledge (and perhaps also further it via research) and training to participate in, and even advance, society? Maybe that one time when Stanford was able to recruit all of those 3* middle linebackers that went on to become MD's. Maybe.

This is way overblown. Over 90% of college football players will never play professionally. The vast majority are “playing school”

[ChickenSandwich 9798]

8 minutes ago, CooterBrown said:

Change the color by one number and you're fine and probably closer to burnt orange than our uniforms.

Real world education a few years earlier. This crash course on business and economics should help the NFL players in the future lower the 70% bankruptcy rate within 3 years of leaving the NFL. 

[Beau Vine 53978]

This is way overblown. Over 90% of college football players will never play professionally. The vast majority are “playing school”

Well, if "playing school" = "enrolling in a non-marketable major because they were steered into it by athletic academic advisers and taking the easiest sections of the easiest courses possible to stay eligible," you're absolutely correct.

[ChickenSandwich 9798]

[Tylerocks 2551]

This is going to be a cluster of epic proportions.

[LonghornSean 3941]

5 hours ago, UTEX_ME said:

LOL 

Someone tweet this to RJ: https://texassports.com/documents/2021/7/1//UT_Protected_Marks_1_.pdf?id=15850

 

It's right from the handy-dandy NIL info page https://texassports.com/sports/2021/6/30/name-image-and-likeness-nil.aspx?path=compliance

Edited July 2, 2021 by LonghornSean

[tx 3 putt 76294]

If the ncaa and nil”s are still around, Lebron’s son will break the bank 

[TwiceHorn 31240]

17 hours ago, Bama Llama said:

NIL deals will put states' Protected Persons laws to the test.  In protected person cases, the petitioner does not have to prove a lack of mental capacity.  These typically originate in probate court; if a petitioner shows that the "person alleged to be in need of protection" is unable to manage their money or other property because they're dependent on drugs or alcohol, a spendthrift, susceptible to undue influence, or just a hapless dumbass, the judge can literally impose a trust out of thin air and appoint a trustee to administer the PATBINOP's assets and income.  This action usually arises just before a doofus, druggie, alkie, or easily-led patsy inherits a truckload of cash or securities, and the PR/executor who has been dealing with the person for months or years takes action to prevent "entourage predation" and waste.  There are parallels in the coming storm of NIL deals.  Probate Court is about to get even more interesting, as will the upstream removals to higher courts and appeals. Hooefully, in the end, the young people actually WILL be protected.

In Texas, at least, just being a dumbass is insufficient to establish a guardianship.  I'd think it would be in most states as there are constitutional concerns.

[TwiceHorn 31240]

10 hours ago, UTEX_ME said:

LOL 

https://supreme.justia.com/cases/federal/us/514/159/

And no, changing it a little isn't going to avoid the problem.

[dcar00 14028]

I'm all for reinstating Reggie Bush as long as they give the Heisman to the best player in college football that year in exchange.

[UtBlaw 32]

On 7/1/2021 at 5:42 PM, oldhorn2 said:

aww hell.....just let their agent worry about all that.oh.....they cant have an agent?....I smell law suit coming....

Longtime stalker, first time poster. I’m a UT alum attorney that has been studying NIL for fun. Because I’m a nerd. I’ll chime in (or not) if y’all have any questions I think I can answer. 
 

starting here, not sure if poster is being sarcastic but student athletes can (and should) have agents. I wouldn’t touch their taxes on my own. They will be complicated with novel issues. Prolly an accountant for all and a tax attorney for the big earners. Their issues are miles away from 1080EZ and most small businesses tax complexity. 

[UtBlaw 32]

7 hours ago, TwiceHorn said:

https://supreme.justia.com/cases/federal/us/514/159/

And no, changing it a little isn't going to avoid the problem.

Not an expert on IP but I would think a close orange with no other branding would be okay. The school may not agree though. Fuck it, trademark your own Pantene orange #54344, or however they define these colors.  The overzealousness protecting UT’s brand is dumb on several levels (IMO)

[Bama Llama 1447]

7 hours ago, TwiceHorn said:

In Texas, at least, just being a dumbass is insufficient to establish a guardianship.  I'd think it would be in most states as there are constitutional concerns.

Agree 100% but my comment was not about guardians or conservators.  The proof bar's lower for a "person alleged to be in need of protection."  The remedy is not a court supervised ongoing case, but a trust.

[UtBlaw 32]

7 hours ago, TwiceHorn said:

In Texas, at least, just being a dumbass is insufficient to establish a guardianship.  I'd think it would be in most states as there are constitutional concerns.

Not sure why NIL would end up in this situation. Further, I was an estate attorney for five years and this is very uncommon. A simple trust and power of attorney would solve almost every case. Enlighten me where this is occurring (Texas?) because I’ve never even heard of it. I mean it makes sense but there are lots of ways to deal with these things. It’s always a last resort for the court to take away someone’s property rights.

[UtBlaw 32]

On 7/1/2021 at 5:58 PM, GringoSalado said:

I thought trade-outs (barter) were not taxable?

Nope, same as money generally. They are taxed the same as a money transaction except in rare cases (e.g., real estate in-kind exchanges). Huuuge tax loophole for the wealthy.

[UtBlaw 32]

On 7/1/2021 at 12:43 PM, Machinator said:

NIL is definitely a major plus for us in the Arch Manning recruitment.

Agree. Problem is he can’t sign any until he’s enrolled in school. I’m sure his advisers will be able to give him some decent estimates tho.

[UtBlaw 32]

On 7/1/2021 at 12:49 PM, tx 3 putt said:

 

how so ? he'll be offered corporate / nationwide deals 

It’ll all depend on if he gets more exposure here vs anywhere else. More popularity more money.

[TwiceHorn 31240]

36 minutes ago, UtBlaw said:

Not an expert on IP but I would think a close orange with no other branding would be okay. The school may not agree though. Fuck it, trademark your own Pantene orange #54344, or however they define these colors.  The overzealousness protecting UT’s brand is dumb on several levels (IMO)

That's probably accurate.  

However, burnt orange and/or white, used in combination with a known or well-known UT athlete, is getting close to the sort of "university sponsorship" and related concepts that I think UT wants to avoid.

And, as Burt and I have discussed, this provision of the Texas law seems to be somewhat unique.  I haven't seen it in other NIL laws that I have skimmed.  And it may place us at a disadvantage relative to other schools willing to "lend" their trademarks.

[UtBlaw 32]

On 7/1/2021 at 1:06 PM, Machinator said:

According to Gerry Hamilton, student-athletes who play for Nike schools can't be signed by Nike to do an endorsement deal.

I disagree with Gerry on this a little, and told him why. For Texas, it will depend on the specific contracts with UTs partners. So we’re a Nike school but kids can’t endorse Nike, okay. But can they endorse Reebok then, a competitor to Nike. What about Adidas? You can’t restrict them from shoe endorsements entirely. It might be in Nikes best interest to just reword their contract and allow for endorsements. 
 

second, Texas NIL is different than every other states. I’ve read several state laws but not Oregon’s so I dunno how it works up there especially considering the Longstanding and close relationship between Nike and Oregon.

so most precisely the answer is what state law governs then how does a particular school in the state deal with it.

and if the state has no law the school can do whatever the fuck it pleases

[Randolph Duke 4034]

48 minutes ago, UtBlaw said:

Not an expert on IP but I would think a close orange with no other branding would be okay. The school may not agree though. Fuck it, trademark your own Pantene orange #54344, or however they define these colors.  The overzealousness protecting UT’s brand is dumb on several levels (IMO)

Pantone is for color identification.

Pantene is for conditioning one’s hair. 

If the school fails to protect its trademark, it risks losing property rights to that trademark. 

[TwiceHorn 31240]

25 minutes ago, UtBlaw said:

Not sure why NIL would end up in this situation. Further, I was an estate attorney for five years and this is very uncommon. A simple trust and power of attorney would solve almost every case. Enlighten me where this is occurring (Texas?) because I’ve never even heard of it. I mean it makes sense but there are lots of ways to deal with these things. It’s always a last resort for the court to take away someone’s property rights.

It was the earlier speculation that once some of these kids get money, there should or will be guardianships (Protected Persons apparently under Alabama law) to protect them from themselves.

[Randolph Duke 4034]

3 minutes ago, UtBlaw said:

I disagree with Gerry on this a little, and told him why. For Texas, it will depend on the specific contracts with UTs partners. So we’re a Nike school but kids can’t endorse Nike, okay. But can they endorse Reebok then, a competitor to Nike. What about Adidas? You can’t restrict them from shoe endorsements entirely. It might be in Nikes best interest to just reword their contract and allow for endorsements. 
 

second, Texas NIL is different than every other states. I’ve read several state laws but not Oregon’s so I dunno how it works up there especially considering the Longstanding and close relationship between Nike and Oregon.

so most precisely the answer is what state law governs then how does a particular school in the state deal with it.

and if the state has no law the school can do whatever the fuck it pleases

More precisely, it all depends on how the courts care to rule on different aspects. 

The law is always what the judge says it is. 

[TwiceHorn 31240]

44 minutes ago, Bama Llama said:

Agree 100% but my comment was not about guardians or conservators.  The proof bar's lower for a "person alleged to be in need of protection."  The remedy is not a court supervised ongoing case, but a trust.

We don't have that here, unless it's very new.  Thought it odd to have the "protected persons" newfangled language, when guardianship or conservatorship is the time-honored term.  So, a new and somewhat different thing, then.

Edited July 3, 2021 by TwiceHorn

[UtBlaw 32]

8 minutes ago, TwiceHorn said:

That's probably accurate.  

However, burnt orange and/or white, used in combination with a known or well-known UT athlete, is getting close to the sort of "university sponsorship" and related concepts that I think UT wants to avoid.

And, as Burt and I have discussed, this provision of the Texas law seems to be somewhat unique.  I haven't seen it in other NIL laws that I have skimmed.  And it may place us at a disadvantage relative to other schools willing to "lend" their trademarks.

Yess!! I haven’t found anyone else that noticed this. It fucks us on several levels. I vaguely alluded to it but this is insane. I think there’s a better argument for letting the kids wear their IP. They won’t even let them autograph pictures of the campus. We’ll at least align with the ags on one thing—an amendment to our damned NIL statute. Hell, just repeal it—we’d be better off.