College coaches' salaries increase despite threat of new tax

WASHINGTON (AP) — A potential new tax on seven-figure salaries for employees of non-profits hasn't deterred schools from doling out huge contracts to new coaches.

Football powers aiming for a national title have continued to pay the market rate for proven coaches, topped by the 10-year, $75 million deal for Jimbo Fisher at Texas A&M. If the GOP tax overhaul becomes law — perhaps before the end of the year — the school could be on the hook for $15 million in new taxes over the life of that contract.

Both the House and Senate versions of the bill include a new 20 percent excise tax on salaries of $1 million or more paid by universities and other nonprofits.