Protecting Tax-Exempt Status: Practical Steps for Universities Amid Heightened Scrutiny

Male hand choosing and picking yellow book on white bookshelf in public library. Education research and self learning in university life conceptsMale hand choosing and picking yellow book on white bookshelf in public library. Education research and self learning in university life concepts

Protecting Tax-Exempt Status: Practical Steps for Universities Amid Heightened Scrutiny

June 24, 2025

United States
United States
United States
Law360 

Higher education institutions have long benefited from tax-exempt status based on their educational mission and public service. But recent political and regulatory developments are placing that status under increased scrutiny.

In an article published by Law360, attorneys Anthony Del Giudice, Charles Hwang, and Brighid O’Donoghue examine the growing challenges universities face — from athletics and endowment income to admissions practices — and outline practical steps institutions can take to safeguard their tax-exempt status.

Key takeaways include: 

  • How recent political rhetoric and proposed legislation are reshaping the tax-exempt landscape
  • The impact of changes in college athletics and endowment taxation
  • Actionable strategies for aligning operations with core exempt purposes and mitigating risk

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Key contacts

anthonydelgiudice@eversheds-sutherland.com

Anthony J. Del Giudice

Partner

United States

charleshwang@eversheds-sutherland.com

Charles C. Hwang

Senior Counsel

Washington, DC, United States

brighidodonoghue@eversheds-sutherland.com

Brighid O’Donoghue

Associate

Washington, DC, United States

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