The NFL has had a lot of issues and problems this season. Whether it was the domestic abuse problems or the recent deflated footballs, Roger Goodell certainly has a lot on his plate. What the biggest problem is though is how much money the NFL brings in every year ($9.5 billion to exact) and the fact that they are still listed as a non-profit organization.
The NFL was able to be placed in a non-profit section of new tax codes when the NFL and AFL merged in 1966. The non-profit label is supposed to protect the NFL as long as they partake in business where profit is not a main goal. The reason this was passed originally was because for starters, the individual teams are not listed as non-profits. Each individual team must pay taxes as they still bring in millions of dollars because they engage in for profit business such as ticketing and licensing. Secondly, the NFL’s original purpose was to simply regulate the legal side of football, contracts, etc. Nowadays, the NFL also takes part in lucrative licensing deals, broadcast rights, and they own their own television network. That all sounds like a profitable organization to me.
Roger Goodell, working as CEO for the NFL, currently makes $44.2 million every year. Non-profits typically pay the higher up members, but $44.2 million dollars seems like a very high sum of money for the head of a non-profit organization. Every year the NFL makes billions simply from the Super Bowl. In one day, the NFL makes all that money from broadcasting rights, ticket sales, and merchandise sales. With so much money coming into the NFL, how could they still possibly be listed as a non-profit? Typical non-profits include Goodwill and Salvation Army who depend on clothing donations and such. The NFL depends on tax dollars of citizens, overpriced tickets, overpriced merchandise, and so much more all while the NFL pays zero taxes on the $9 billion they make. The NBA and MLB have changed their status to for profit organizations, it’s time for the most profitable sports league in the United States to change their status as well.