SALES TAX MEANS SALES TAX. That goes for the Wisconsin football program, too.

Wisconsin athletics director Barry Alvarez asked lawmakers Wednesday to help his department avoid a potentially huge tax liability.

The [Wisconsin] Department of Revenue is threatening to start collecting the sales tax on donations made to Badgers’ athletics by people trying to qualify for season tickets, Alvarez said. His department would owe $400,000 in the first year and up to $2 million if the tax is collected retroactively to 2001, he said.

The Badgers’ legendary former coach testified in favor of a bill that would specifically exempt such donations from the sales tax. Fans would still pay the sales tax on the face value of the tickets.

“The failure to enact (the bill) would have an immediate negative financial impact on the Athletic Department,” Alvarez said.

An Assembly committee voted 11-0 for the bill after a 45-minute hearing. A similar plan failed to pass the full Legislature last session.

The department started requiring donations for preferential seating at football, men’s and women’s basketball and hockey games several years ago as part of a plan to get its “financial house in order,” Alvarez said.

The school charges up to $250 for Wisconsin football season ticket holders and smaller premiums for other sports. The payments are required for 38,000 seats at Camp Randall and 6,500 at the Kohl Center, Alvarez said.

Bingo. "Required donations are not donations."