As we watch the college landscape shift dramatically, there is another element of sports business that is running a parallel path. This industry might exacerbate a problem that continues to bubble to the surface. We are seeing the red flags as these two dynamics potentially collide: taxes and gambling.

For most college students, taxes are simple. They work, they receive a paycheck and their employer deducts taxes. For most of us, doing our taxes is a fairly simple process because taxes have been deducted. This is not the process for most college athletes.

In this new era of paid college athletes, the majority are receiving their compensation untaxed — they are paid via 1099. This means they are receiving their full compensation without any taxes deducted at the time of payment. It’s their responsibility to figure out how to pay federal, and if applicable, state taxes. Some, but not all, are being advised to get a tax professional. Some college and university athletic departments attempt to educate their athletes, but nothing is mandatory. Some agents are trained professionals from reputable businesses, yet many “agents” are inexperienced opportunists. Without oversight, there are no guardrails. Countless student athletes are being taken advantage of.

We now have athletes who are exiting college (and thousands still in college) carrying debt.........

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