How the NFL avoids paying millions in taxes

[LittleBlue]

5. Sure

In spite of the fact that the NFL in its entirety is the most profitable sport in the US, the league itself is actually operating in the red. In 2011 alone, the NFL reported $77 million in losses.

“The expenses outweigh the revenues so it is actually losing money. So the irony is if it were a taxable entity it wouldn’t be paying any tax because, like any tax-paying entity, if you exceed your revenues you don’t pay any tax, there’s no net income,” Tenenbaum points out.

http://rt.com/usa/nfl-lose-nonprofit-status-863/

There are numerous sources if you google "NFL tax loss"

Last year's was $54 million. They probably have hundreds of millions in carry forward losses because they lose roughly $50m or more every year.

The point I want everyone to understand is that whatever the NFL's former practices were, perhaps 40 years ago they did make big money, the actual corporation today is nothing more than a pass-through entity through which salaries are paid. Since the amount is adjusted through license, the NFL can just adjust the amount they get so that they never pay taxes. They exist, after all, just to cover salaries and a few relatively minor expenses. The power and money exists solely within the individual teams.