House Bill No. by Representative Young proposes amendments to Louisiana's income tax laws to authorize tax deductions for compensation earned by intercollegiate athletes. Specifically, the bill allows individual income tax deductions for amounts earned by these athletes for the use of their name, image, or likeness, with a cap of $12,500 or the actual amount earned, whichever is less. Additionally, corporations can deduct similar amounts paid to intercollegiate athletes under the same conditions. The bill defines "intercollegiate athlete" as a student participating in an athletic program at a postsecondary institution and outlines the types of institutions eligible for these deductions.

The proposed law also includes specific exclusions, prohibiting deductions for compensation related to endorsements of tobacco, alcohol, illegal substances, or gambling, as well as any compensation beyond the athlete's participation in their athletic program. The Secretary of the Department of Revenue is authorized to create rules and regulations to implement these provisions. The changes will take effect on January 1, 2026, and apply to compensation earned or paid from that date forward.

Statutes affected:
HB168 Original: 47:293(10)