ABSTRACT The college sports industry is in the middle of a dramatic transformation. On June 6, 2025, U.S. District Court Judge Wilken officially approved the historic settlement between the National Collegiate Athletic Association (NCAA), schools, and players, ushering in a new era of revenue-sharing for Division I athletes. Commonly referred to as the House v. NCAA settlement, this settlement expressly allows Division I schools to directly compensate student athletes, effectively recharacterizing these athletes from amateurs to professionals. This paper explores these changes, including the history of college athletics, the recent rulings and NCAA pronouncements that have motivated this transformation, and the potential tax implications moving forward, focusing on the tax implications for college athletic programs. JEL Classifications: J3; K39; Z22; Z28.
Amy J. N. Yurko (2025) studied this question.