This bill proposes to exclude from New Jersey's gross income tax any compensation earned by college athletes for the use of their name, image, or likeness, in accordance with the New Jersey Fair Play Act. The exclusion applies to taxpayers who participate in intercollegiate athletics as students at four-year institutions of higher education within the state. However, the amount of compensation that can be excluded is capped at $100,000 per taxable year.

The bill aims to support college athletes by allowing them to earn income from their personal brand without it impacting their tax obligations. It reinforces the provisions of the New Jersey Fair Play Act, which prohibits institutions from restricting student-athletes from earning such compensation. The act is set to take effect immediately and will apply to taxable years starting on or after January 1 of the year following its enactment.