To amend the Internal Revenue Code of 1986 to impose an excise tax on certain institutions of higher education that allow male participation in female intercollegiate athletic programs or events.

Key Points

• This bill would charge a 10% tax to private colleges that let biological males compete in women's sports. The tax would be calculated based on the total amount of money the school spends on all its sports programs that year.
• The proposal defines male and female based on biological reproductive systems. It aims to stop schools from allowing transgender women to participate in athletic events designated for biological females.
• To protect students, the bill says schools cannot raise tuition or mandatory fees to pay for this tax. The Department of Education would create rules to make sure colleges do not pass the cost of the tax on to their students.
• This tax would only apply to private colleges and universities. Public state colleges and universities would not be subject to this specific tax under the current wording of the bill.
• If this bill becomes law, it would take effect for the tax year starting in 2026. This would force many private schools to decide between changing their sports policies or paying a large financial penalty.

Impact Analysis

Govbase has not yet run an impact analysis on this legislation.