[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3908 Introduced in House (IH)]

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118th CONGRESS
  1st Session
                                H. R. 3908

   To amend the Internal Revenue Code of 1986 to prohibit tax-exempt 
                status for professional sports leagues.


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                    IN THE HOUSE OF REPRESENTATIVES

                              June 7, 2023

Mr. Garamendi (for himself, Ms. Tlaib, and Ms. Brownley) introduced the 
 following bill; which was referred to the Committee on Ways and Means

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                                 A BILL


 
   To amend the Internal Revenue Code of 1986 to prohibit tax-exempt 
                status for professional sports leagues.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``No Corporate Tax Exemption for 
Professional Sports Act''.

SEC. 2. SPECIAL RULES RELATING TO PROFESSIONAL SPORTS LEAGUES.

    (a) In General.--Section 501 of the Internal Revenue Code of 1986 
is amended by adding at the end the following new subsection:
    ``(s) Special Rules Relating to Professional Sports Leagues.--No 
organization or entity shall be treated as described in subsection 
(c)(6) if such organization or entity--
            ``(1) is a professional sports league, organization, or 
        association, a substantial activity of which is to foster 
        national or international professional sports competitions 
        (including by managing league business affairs, officiating or 
        providing referees, coordinating schedules, managing 
        sponsorships or broadcast sales, operating loan programs for 
        competition facilities, or overseeing player conduct).''.
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after the date of enactment of this Act.
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