Murphy, Davis Want K-12 Tax Deduction Made Available to Athletic Coaches, Administrators

May 24, 2021 by Reece Nations
Murphy, Davis Want K-12 Tax Deduction Made Available to Athletic Coaches, Administrators

WASHINGTON — Reps. Stephanie Murphy, D-Fla., and Rodney Davis, R-Ill., are sponsoring legislation that would expand a federal tax deduction so K-12 athletic coaches and administrators are eligible for reimbursement should they pay out of pocket to buy equipment and supplies.

The bill, authored by Murphy and cosponsored by Davis, would amend the Internal Revenue Code of 1986 to include deductible expenses for certain supplies and open the deduction up to interscholastic sports administrators and coaches. Currently, eligible educators may deduct up to $250 of unreimbursed business expenses.

“A high school or middle school coach who spends their own money to buy equipment and supplies for their student-athletes, especially items to reduce the risk that a student-athlete will contract COVID-19, should be able to take a federal tax deduction for those purchases,” Murphy said in a written statement. “I’m proud to introduce this bipartisan bill with Congressman Davis to support athletic coaches and administrators who work so hard to support student-athletes and keep them safe.” 

The bill would amend the existing revenue code by striking “in the classroom” and inserting “as part of instructional activity,” into its subsections, according to the text of the bill. The bill would also specify that an “interscholastic sports administrator or coach,” is eligible for the deduction. 

Current deductions for school supplies may be claimed by “eligible educators,” but not coaches or athletic directors, according to the text of the internal revenue code. The legislation is supported by the National Interscholastic Athletic Administrators Association, according to a release from Murphy’s office.  

“As a former youth football and baseball coach, I know that coaches and athletic staff go above and beyond for their players in making sure they have the equipment and supplies they need to play,” Davis said in a written statement. “That’s why I’m proud to team up with Congresswoman Murphy to introduce this bipartisan bill. As our economy begins to reopen, school sports and athletics resuming will be a key part of returning to normal. We should be supporting coaches and athletic staff in making that happen, and this legislation is one way we can do that.”

Presently, qualified expenses under the deduction encompass amounts paid for professional development courses, books, supplies, computer equipment [including related software and services], other equipment, and supplementary materials utilized specifically by educators in the classroom, according to the IRS. 

In addition, deduction also applies to expenses incurred after March 12, 2020, for personal protective equipment, disinfectant, and other supplies used to curb the spread of COVID-19. Last week, the bill was introduced in the House of Representatives and referred to the House Committee on Ways and Means where it currently awaits a hearing. 

“We thank Congresswoman Murphy and Congressman Davis for this bill that directly offers a positive benefit to interscholastic athletic administrators,” NIAAA Executive Director Mike Blackburn said in a written statement. “Just as the original 1986 IRS code allows deductions for out-of-pocket educator costs, this bill offers the same financial option to those in the profession of high school and middle school athletic administration and coaching. We appreciate our supportive members of the U.S. Congress, as well as our advocates, and NIAAA Board of Directors.”

Murphy took part in another bipartisan initiative last Congressional session to expand the deduction to eligible educators if they purchased air purifiers, cleaning supplies, and personal protective equipment like masks for their classrooms in an effort to combat COVID-19. Her bill, the “Supporting Educators During COVID-19 Act,” was enacted in December as part of the “Consolidated Appropriations Act of 2021.” 

The amendments to the code would apply to taxable years beginning after Dec. 31, 2020, should the legislation become law, according to the bill’s text. 

“Athletic directors like myself are dedicated professionals to their athletic programs,” Lanness Robinson, former NIAAA president and director of Athletics for Hillsborough County Public Schools in Tampa, Fla., said in a written statement. “That dedication results in a ‘do whatever it takes attitude’ to have the best athletic program imaginable. Combine that character trait with shrinking budgets and the result generally means that ADs across the country reach into their pockets and use personal resources to support their athletic programs.  

Robinson continued, “A tax deduction to offset the personal expenses incurred is just a sign of appreciation for all of the sacrifices made by ADs. Thank you to everyone involved in the process of attempting to recognize the efforts of ADs.” 

A+
a-
  • coaches
  • deduction
  • K-12
  • Rodney Davis
  • Stephanie Murphy
  • In The News

    Health

    Voting

    Taxes

    March 26, 2024
    by Dan McCue
    Sen. Blumenthal Lauds Expansion of Tax Credit for Offshore Wind Projects

    NEW LONDON, Conn. — Sen. Richard Blumenthal, D-Conn., visited State Pier in New London, Connecticut, on Monday to tout and... Read More

    NEW LONDON, Conn. — Sen. Richard Blumenthal, D-Conn., visited State Pier in New London, Connecticut, on Monday to tout and celebrate the Biden administration’s decision to expand eligibility of federal tax credits for offshore wind projects. “This tax credit has been a long time in coming,”... Read More

    House Passes Bill to Enhance Child Tax Credit, Revive Tax Breaks for Businesses

    WASHINGTON (AP) — The House accomplished something unusual Wednesday in passing with broad, bipartisan support a roughly $79 billion tax... Read More

    WASHINGTON (AP) — The House accomplished something unusual Wednesday in passing with broad, bipartisan support a roughly $79 billion tax cut package that would enhance the child tax credit for millions of lower-income families and boost three tax breaks for businesses, a combination that gives lawmakers... Read More

    December 8, 2023
    by Tom Ramstack
    Hunter Biden Indicted on Felony Charges Alleging Years of Tax Evasion

    LOS ANGELES — A Los Angeles grand jury indicted Hunter Biden on tax charges Thursday. The nine-count indictment alleges Biden... Read More

    LOS ANGELES — A Los Angeles grand jury indicted Hunter Biden on tax charges Thursday. The nine-count indictment alleges Biden failed to pay $1.4 million in taxes over four years. The Los Angeles indictment follows similar tax evasion charges this year in Delaware. Biden also is... Read More

    July 10, 2023
    by Dan McCue
    Feds Propose Change to Rules Governing Oil and Gas Decommissioning Costs

    WASHINGTON — The Biden administration is proposing changes to the federal financial assurance requirements for oil and gas companies to... Read More

    WASHINGTON — The Biden administration is proposing changes to the federal financial assurance requirements for oil and gas companies to protect taxpayers from the costs of decommissioning offshore oil wells and infrastructure no longer in use. By law, oil and gas companies must “decommission” offshore infrastructure... Read More

    June 26, 2023
    by Jacquelyn Burrer
    Supreme Court to Determine Scope of Congress’ Taxing Authority

    WASHINGTON — The Supreme Court on Monday agreed to hear a challenge to a provision of the Trump-era Tax Cuts... Read More

    WASHINGTON — The Supreme Court on Monday agreed to hear a challenge to a provision of the Trump-era Tax Cuts and Jobs Act that could dramatically alter the taxing powers of Congress. As is their custom, the justices did not explain their rationale for taking up... Read More

    June 9, 2023
    by Jacquelyn Burrer
    New Bipartisan Caucus Aims to Secure State and Local Tax Deduction

    WASHINGTON —  Members of the recently-formed bipartisan State and Local Tax Caucus are urging their colleagues to support legislation removing... Read More

    WASHINGTON —  Members of the recently-formed bipartisan State and Local Tax Caucus are urging their colleagues to support legislation removing the SALT deduction cap, arguing it will provide often neglected middle-class Americans with needed financial assistance.  The bill, the Securing Access to Lower Taxes by ensuring... Read More

    News From The Well
    scroll top