Summary#
This bill would add a new excise tax for certain colleges and universities. If a non-state eligible college lets a person the bill defines as male take part in an athletic program or event designated for females for any part of a taxable year, the college would owe a tax equal to 10 percent of the college's total spending on all intercollegiate athletic programs for that year. The bill defines "male," "female," and "sex" in biological terms. It excludes state colleges and universities from the tax and says the tax applies to taxable years beginning after December 31, 2025. The bill also says institutions subject to the tax may not raise tuition or mandatory fees because of the tax and directs the Secretary of Education to write rules to enforce that rule.
What it means for you#
- Colleges and universities that are not state institutions and that allow someone defined as male to compete in female-designated intercollegiate athletics could face a 10% excise tax on their total intercollegiate athletics spending for a year.
- The tax would apply for taxable years starting after December 31, 2025.
- Institutions subject to the tax are barred by the bill from increasing tuition or mandatory fees to cover the tax; the Secretary of Education must make rules to enforce that ban.
- The bill uses specific biological definitions for "male," "female," and "sex."
Expenses#
- The bill sets the tax at 10 percent of an affected institution's aggregate expenditures on all intercollegiate athletic programs for the taxable year.
- No publicly available information on projected revenue, federal cost estimates, or wider fiscal effects is included in the bill text or metadata.
Proponents' View#
No publicly available information.
Opponents' View#
No publicly available information.