Earlier today, Paula Lavigne of ESPN's Outside the Linestook a closer look at the PGA Tour's nonprofit status. Specifically, she looked at many of the tournaments along the PGA Tour that claim they are a 501(c)(3) nonprofit organization. As a 501(c)(3) nonprofit organization, these tournaments are eligible for tax deductibility of donations to their tournaments, government and private grants and many other benefits. Those benefits are specific only to 501(c)(3) organizations and do not include the additional tax savings any normal nonprofits receive such as little to no income or sales tax on revenues received or expenses paid.
Ms. Lavigne estimates allowing the PGA Tour and it's tournaments to operate as a nonprofit organization has allowed them to save nearly $200MM in taxes over the past 20 years. All while bringing in $700MM in profits!
I encourage you to read her article as well as look at Outside the Line's graphic that takes an in depth view of each of the 25 PGA Tour tournaments that claim they are a charitable organization. This graphic compares the charitable giving amounts to the percentage of the revenues these tournaments receive.
Additionally, as Ms. Lavigne mentions in her article, Senator Tom Coburn from Oklahoma is currently seeking to put a change to this area of the tax code. Whether Senator Coburn's bill will become law is still to be seen but it is an effort the Senator has spent much of his time in Congress unsuccessfully trying to pass.
If that isn't enough of a to do list for you, Deadspin put out a small piece about this same topic and Outside the Line's report will air on ESPN2 this Sunday morning at 7am CST.
Ms. Lavigne estimates allowing the PGA Tour and it's tournaments to operate as a nonprofit organization has allowed them to save nearly $200MM in taxes over the past 20 years. All while bringing in $700MM in profits!
I encourage you to read her article as well as look at Outside the Line's graphic that takes an in depth view of each of the 25 PGA Tour tournaments that claim they are a charitable organization. This graphic compares the charitable giving amounts to the percentage of the revenues these tournaments receive.
Additionally, as Ms. Lavigne mentions in her article, Senator Tom Coburn from Oklahoma is currently seeking to put a change to this area of the tax code. Whether Senator Coburn's bill will become law is still to be seen but it is an effort the Senator has spent much of his time in Congress unsuccessfully trying to pass.
If that isn't enough of a to do list for you, Deadspin put out a small piece about this same topic and Outside the Line's report will air on ESPN2 this Sunday morning at 7am CST.
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