Is the Florida Collective a 501-C Tax Exempt Organization?

That seem right. I think either you "join" Florida Victorious and your funds go to athletes NIL or you "donate" to the foundation for their charitable works.

When I put in the correct name of the foundation, FLORIDA ACHIEVEMENT SUPPORT TRUST, into the IRS charity search website, it showed up as a separate organization with the EIN of 88-2588991. There is a tax determination letter that indicates that the foundation entity is a tax-exempt public charity. The EIN doesn't appear in a Sunbiz search, so that entity likely is not a corporate entity.

 

Yes, I left off (3).

However, perhaps someone with more tax knowledge, can explain how a player that is getting paid for his NIL, i.e., being rewarded because his NIL was used by someone to make money, can claim that this is a charitable event?

Even more importantly, how can the collective that is paying him for his NIL, claim that their revenues are being generated for charitable purposes?

The NIL payments are supposed to compensate the players because companies are making money off their NIL.

The collectives aren't charitable corporations by any measure. The people who contribute to them should not expect to take legitimate charitable deductions.








Anyone that gives money to a collective, and calls it a charitable

 

Beck is in the top 10 in NIL earnings at $1.6 million. He has deals with Players Lounge, Associated Credit, and Zero FG Energy drink. Reports are he paid for the car outright. Not bad.

 

If donations to the collective were tax-deductible, it would increase the take significantly. Don't see any valid justification for that, though.

It was a hit when season ticket donations were removed from tax-deductible status.

 

That IRS memo scared most collectives into reorganizing. Hail!Michigan set the template and Florida Victorious seems to have structured themselves the same way. They keep donations to the charitable foundation and the war chest separate.

Only the foundation donations are tax deductible. 70% of those collections have to go to the local charity, while 30% can go to the athlete via what I'm guessing is an appearance fee or compensation for promoting the charity.

I don't think we are structured in a way that makes us less competitive. The IRS memo forced NILs to rethink their strategy and I believe the popular format is to keep the charitable donations separate from the "attracting players" bucket.