[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6774 Introduced in House (IH)]

<DOC>






118th CONGRESS
  1st Session
                                H. R. 6774

 To amend the Internal Revenue Code of 1986 to establish special rules 
relating to which professional sports leagues qualify to be exempt from 
                               taxation.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           December 13, 2023

 Mr. Thompson of California (for himself and Mr. Buchanan) introduced 
  the following bill; which was referred to the Committee on Ways and 
                                 Means

_______________________________________________________________________

                                 A BILL


 
 To amend the Internal Revenue Code of 1986 to establish special rules 
relating to which professional sports leagues qualify to be exempt from 
                               taxation.

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

SECTION 1. 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 shall be treated as described in subsection (c)(6) for any 
taxable year 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), and
            ``(2) has annual gross receipts in excess of $1,000,000,000 
        during any of the 5 preceding taxable years.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after December 31, 2022.
                                 <all>