College Athletes and Tax Laws—What to Know Before Going Pro

February 28th, 2024 Off

By Dr. John Karaffa, CPA/PFS, CFP®, President of ProSport CPA PLLC Successful college athletes are often treated like heroes on their campuses. They might feel like stars around town, and the 2 percent who are offered professional contracts will continue to attract attention. But heading into professional sports will come with more than a nice […]

NIL tax tips for college athletes

February 28th, 2024 Off

By Chris Clark If you are a college athlete making money – or thinking about making money – from you name, image, and likeness, you need to make sure that you are educated on your tax responsibilities. Dollars earned from NIL activities will be subject to both self-employment and income taxes and must be reported […]

Business of Tax: College Athletes Risk Tax Red Flags After NCAA’s Shift

February 28th, 2024 Off

By Jonathan Curry College athletes now have the opportunity to earn money through endorsements and the use of their likenesses, but they might not be prepared for the tax hit coming around the corner. Tax professionals agree that the rules for college athletes using their name, image, or likeness (NIL) to earn income aren’t any […]

Ledecky May Owe U.S. $44,000 in Taxes for Olympics Glory

February 28th, 2024 Off

By Samuel McQuillan As the Olympic flame goes out in Tokyo on Sunday, marking the end of the 2020 Games, swimming phenom Katie Ledecky and pole vaulting sensation Katie Nageotte will both be leaving with gold. A hefty tax bill awaits back in the U.S., but only for one of them. Ledecky, now the most […]

To the Olympic Victors Go the Spoils (and Maybe a Tax Bill) (1)

February 28th, 2024 Off

By Samuel McQuillan Exemption for those making less than $1 million annually U.S. body awards up to $37,500 per medalist As the Olympic flame goes out in Tokyo on Sunday, marking the end of the 2020 Games, swimming phenom Katie Ledecky and pole vaulting sensation Katie Nageotte will both be leaving with gold. A hefty […]

US Olympic gold medal swimmer Katie Ledecky likely to owe tens of thousands in taxes for winnings

February 28th, 2024 Off

By Brie Stimson US competition with China is in economics, not Olympics: Lieberman Former Connecticut Senator Joe Lieberman provides insight into calls for Gov. Andrew Cuomo to step down, as well as U.S.-China relations, trade and competition Olympic gold medalist swimmer Katie Ledecky will be leaving Tokyo with two gold medals and two silvers, and […]

Why athletes (and some remote workers) owe a ‘jock tax’ wherever they go

February 28th, 2024 Off

Professional athletes owe major tax bills every time they work in another state. If you’re a remote employee, you might, too. By Mark Dent If you file your taxes through TurboTax or a similar online service, you’ve likely seen a certain question during your annual return: “Did you perform work in more than one state?” […]

Riches in Niches: The wide world of sports

February 28th, 2024 Off

By  Juliette Gaudemer During his time as a professional basketball player in Europe in the 1990s, sports accountant John Karaffa witnessed firsthand how complex taxes could get between cities, states and countries. Frustrated by the inadequate services provided by many accounting firms, he believed that creating a niche firm exclusively focusing on athletes and entertainers was […]

An accountant for NBA stars describes the ‘very complex’ process of preparing taxes for pro athletes — from ‘jock tax’ to hot tub write-offs

February 28th, 2024 Off

Taxes are especially complicated for professional athletes. Pro athletes’ taxes are complex because they pay taxes in nearly every place they play. John Karaffa, president of ProSport CPA, told Insider that athletes’ tax returns are as thick as reams of paper. From filing in multiple jurisdictions to unique write-offs, Karaffa said it’s a “complex” process. […]