Section 1 Short title
This Act may be cited as the “Sports League Tax-Exempt Status Limitation Act”.
Sports League Tax-Exempt Status Limitation Act
A BILL
To amend the Internal Revenue Code of 1986 to impose an asset test on professional sports leagues qualifying for 501(c)(6) status.
Sec. 2 Asset test for professional sports leagues
by inserting
after
, and
by adding at the end the following new subparagraph:
“(B) Subparagraph (A) shall not apply to any professional football league if the average annual value of the assets of such league, as reported on the league's annual return, for any 3-taxable-year period beginning after December 31, 2020, exceeds $500,000,000.”
Effective date— The amendments made by this section shall apply to taxable years beginning after December 31, 2023.