Lawmakers in Mississippi made national headlines when a bill exempting name, image, and likeness (NIL) compensation from state income taxes advanced. However, one elected official is reminding the public that the legislation is not yet the law of the land and more than likely will end up in the trash can.
In late February, House Bill 4014 passed in its originating chamber on a 76-32 vote with support and dissent from both Democrats and Republicans alike. The measure would allow student-athletes to strike NIL deals without having to worry about paying state income taxes, a move aimed at making Ole Miss, Mississippi State, and in-state colleges and universities more competitive in the college sports scene.
Currently, three states with Southeastern Conference members (Florida, Tennessee, and Texas) do not have a state income tax, and another (Arkansas) preceded Mississippi in an effort to safeguard NIL earnings. Some see the move as a great recruiting pitch, while others have argued that prioritizing one group with tax incentives is unfair — especially in an impoverished state like Mississippi.
Nationally, some outlets erroneously reported that Mississippi’s bill had cleared the state legislature and was on the desk of Republican Gov. Tate Reeves. State Sen. Jeremy England, R-Vancleave, took to social media to set the record straight, while also offering commentary on the bill.
“It was incorrectly reported nationally that this bill had passed the Mississippi legislature and was headed to the governor. This is not true, though it has many Mississippians upset. The Student Athlete NIL bill is a House bill that only passed the Mississippi House of Representatives,” England wrote. “It has not been brought up for a vote in the Mississippi Senate, and I doubt it will come up, considering the sentiment I have heard from my colleagues.”
HB 4014 has been referred to the Senate Finance Committee, where it is expected to die. But, in the event that the measure makes it to the floor for consideration, England will cast an emphatic no vote. His opinion is that offering special treatment to athletes – especially those set to strike six- or seven-figure deals – while the rest of the workforce pays state income taxes is bad policy.
“While I understand the House’s intention in making our colleges and universities more attractive to athletes during this new NIL era, it is my opinion that we should not provide additional special treatment for these athletes while the rest of Mississippians continue to pay income taxes,” England continued.
In the House, Ways and Means Committee Chairman Rep. Trey Lamar, R-Senatobia, contended that the state is already phasing out the income tax and that the benefits of exempting NIL deals outweigh any potential ramifications.
“NIL is something that has taken the country kind of by storm in the college sports arena over the last few years,” Lamar said. “There are other states doing it. I believe Mississippi needs to remain competitive in that arena. We’ve made a policy decision over the last 10 years, which finalized last year, in exempting all income tax.”
On the financial side of things, Mississippi would forego just south of $4 million in estimated taxes by exempting NIL deals. That figure pales in comparison with the amount of money college athletics generates in the towns that host the state’s largest universities. In 2024, Ole Miss football home games had a $325 million economic impact on the city of Oxford.
Mississippi is no stranger to seeing large NIL deals being doled out. Ole Miss quarterback Trinidad Chambliss, who recently won a legal battle against the NCAA in seeking an extra year of eligibility, reportedly etched an agreement totaling more than $5 million for the 2026-27 season. Eliminating the 4% tax assessed by the state would save him hundreds of thousands of dollars, though it looks like he will have to pay the state of Mississippi with the NIL exemption legislation being seemingly dead on arrival in the Senate.