This bill would change how the federal government taxes compensation paid by professional sports franchises. Specifically, it would exempt athletes and other individuals who perform services in athletics from the existing cap on tax deductions for employee compensation at sports organizations. Currently, businesses can only deduct up to $1 million in annual compensation for their top five highest-paid employees, but this bill would create an exemption allowing sports franchises to deduct unlimited compensation paid to athletes. The changes would take effect for tax years beginning after December 31, 2026. While the bill text does not specify funding amounts, the primary effect would be to reduce tax revenue by allowing sports organizations larger deductions for player salaries and other athletic compensation.