The tax bill passed by Republicans in Congress ends a deduction used by university sports season ticket holders, according to the Greater Baton Rouge Business Report.
LSU and other universities require charitable donations in order for people to get certain season tickets, and 80 percent of the donation could be written off on the donor’s taxes. In Baton Rouge, that comes out to $50 million each year in donations.
That deduction will disappear when President Donald Trump signs the tax overhaul into law. LSU Athletic Director Joe Alleva said that could be “disastrous” for college sports.
The bill cuts the corporate tax rate from 35 to 21 percent and comes with other widespread cuts affecting most Americans while adding $1.46 trillion to the national debt. It also repeals the individual mandate for health insurance, an important facet of the Obama-era Affordable Care Act.
Critics argue that though most families would enjoy a short-term gain in their tax returns, by 2025 more than half of all Americans will end up paying more taxes as individual relief sunsets. Corporate tax cuts were made permanent, unlike the individual cuts.