Bill > HB166

This bill introduces a new tax deduction for intercollegiate athletes in Louisiana, allowing them to deduct the full amount of compensation earned from the use of their name, image, or likeness (NIL) from their state income tax. The deduction applies specifically to athletes enrolled in Louisiana public or nonpublic postsecondary education institutions that receive state financial assistance, and only covers compensation earned while participating in an athletic program. The bill defines an "intercollegiate athlete" as a student participating in an athletic program at a postsecondary institution and includes important limitations, such as excluding compensation prohibited under existing state regulations and compensation earned after the athlete's participation in the athletic program ends. The tax deduction will become applicable to compensation earned on or after January 1, 2026, and is part of a broader trend of recognizing and supporting college athletes' ability to monetize their personal brand. The Louisiana Department of Revenue is authorized to create rules and regulations to implement this new tax provision, ensuring proper administration of the deduction.