Mississippi is making a bold move in the NIL era — and while the SEC is the obvious winner, the long-term impact on Jackson State and other HBCUs could be just as important.
The Mississippi House has passed a bill that would exempt name, image and likeness earnings from state income tax. With Mississippi already phasing out income tax over the next decade, lawmakers say this accelerates a competitive edge right now.
Rep. Trey Lamar framed it plainly.
“NIL is taking the country by storm,” he said. “Other states are doing it, and I believe it’s time that Mississippi starts doing this as well.”
Let’s be honest — the first programs that benefit are the heavyweights. SEC schools like Ole Miss and Mississippi State are already competing for elite talent with deep-pocketed collectives. Star quarterback Trinidad Chambliss is projected to earn $5 million in NIL deals next season. Making that income tax-free only sweetens the pitch.
In a conference where margins are razor thin and recruiting wars are national, even a few percentage points matter. That’s real leverage.
But here’s the more interesting question: what does this mean for Mississippi’s HBCUs?
SEC Advantage — But What About Jackson State?
Programs like Jackson State, Alcorn State and Mississippi Valley State don’t operate with SEC budgets. They aren’t handing out seven-figure collective packages.
However, perception matters in recruiting.
If a recruit can sign NIL deals in Mississippi without state taxes, that benefit applies whether he’s playing in the SEC or at an HBCU. For mid-level Power Five transfers or high three-star prospects weighing options, the financial math becomes cleaner.
At Jackson State especially — a program that has already demonstrated national branding power — tax-free NIL income could be marketed as part of a broader pitch: exposure, opportunity and financial upside.
Leveling or Widening the Gap?
Here’s the reality. The SEC will gain the most immediate benefit because the dollars are bigger. Five- and six-figure differences scale dramatically when deals reach into the millions.
But for HBCUs, this could still matter in specific lanes:
- Retaining breakout stars tempted by Power Five transfers
- Attracting high-level FCS or G5 transfers
- Encouraging local Mississippi talent to stay home
Rep. Dan Eubanks questioned why athletes should receive special treatment under tax law. That debate isn’t going away.
Yet in the NIL arms race, states are choosing sides. Arkansas has already passed similar legislation. Florida, Texas and Tennessee have no income tax at all.
Mississippi is signaling it wants to compete.
The SEC will benefit immediately. The question for Mississippi’s HBCUs is whether they’ll be able to aggressively position themselves to benefit strategically.
In this era, you don’t just inherit advantages. You market them.
