mouser
Business of Hockey
Unprecedented contract structure. Will probably allow Ohtani to avoid CA’s 12% top income tax rate and possibly other tax strategies to reduce his future tax burden on the deferred payments.
Federal US taxes: 10-37% progressive (less Canadian taxes due)How would that compare with Canadian/Ontario taxes?
I imagine the $700 figure factors inflation. Meaning no one was offering close to $700 in a non-deferred structure.What an absolute idiot. Does he not understand inflation? His agent should be fired
What an absolute idiot. Does he not understand inflation? His agent should be fired
It's $460mm in today's money, inflation was absolutely part of the equation.What an absolute idiot. Does he not understand inflation? His agent should be fired
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Report: Shohei Ohtani to defer all but $20M of his $700M Dodgers contract until after its completion in 2034
Ohtani reportedly won't see $680 million of his groundbreaking contract for more than a decade. The deferral was reportedly his idea.sports.yahoo.com
Yahoo Sports article
Would Canadian and Ontario taxes be higher? I guess I'm asking if taxes would be an issue in his choosing the Dodgers over the Jays.Federal US taxes: 10-37% progressive (less Canadian taxes due)
California: max 39% (but about half the games are in other jurisdictions)
Would Canadian and Ontario taxes be higher? I guess I'm asking if taxes would be an issue in his choosing the Dodgers over the Jays.
Wow.Yes in ontario top tax bracket is 53.53% when including provincial and federal taxes
Does any other professional league in North America allow this kind of salary structure (deferment after athlete's career is over)?
I am quite sure if somebody would do that in Premier League or Bundesliga they would be relegated and kicked out of Championship league for many years
Chelsea has also done quite a few shady deals over the last year and a half, and its part owner Boehly is also part owner of this baseball team as well. The fact that FIFA is starting to move a significant portion of its workforce to the US all but guarantees that football will become even more embedded in corruption.
Does any other professional league in North America allow this kind of salary structure (deferment after athlete's career is over)?
I am quite sure if somebody would do that in Premier League or Bundesliga they would be relegated and kicked out of Championship league for many years
Yahhh, I think his agent, attorney, and tax attorney are better informed than you. This is about tax avoidance.What an absolute idiot. Does he not understand inflation? His agent should be fired
Thank you.I didn't know thatNHL, NFL and NBA all allow deferred salary.
? FIFA has been embroiled in more scandals than all of the major North American leagues combined.
Money is not a tangible asset, 680 million could be worth very little in 10 years. Nothing is guaranteed.$680 million will still buy a lot, even with inflation. Regardless, this is not the first contract like this... Justin Verlander has a similar set up to his contract. Either one can retire to a income tax free state (Nevada, Florida, Texas, etc...) and take home that much more of their future earnings.
I don't see it as fireable, I see it as ingenious.
then why don’t all other players do this? I studied economics. I think I know what I’m talking about.Yahhh, I think his agent, attorney, and tax attorney are better informed than you. This is about tax avoidance.
The only way to avoid inflation is to take a short-term deal. Ten years, paid out annually with no deferment does nothing to combat the impact of inflation. He's locked in.
Deferring 90% of the contract to 2034 and beyond - when he'll be living somewhere other than California - means he'll pay income tax on the $680 million based on wherever he IS living. If at all. It's more likely he'll buy a property in the Cayman Islands, or some other tax haven, and wriggle his way out of pay tax on any of the deferred amount.
It's because FIFA is being held accountable, as it literally involves every country on Earth.
North American sports leagues are accountable to no one. Especially not from governments like FIFA. A) a significant majority of sports team owners are involved in politics. They bankroll one of the two parties, aka oligarchs. B) I'm not familiar with any North American sports leagues other than the NHL. But like the NHL it is used by the government as a propaganda tool aka jingoism as required military nights and players must wear military style jerseys + many NHL games start like a third world military parade.
Another thing is lack of free press. It is hard to take leagues seriously where there is no legitimate independent anti-doping control. It does not follow the WADA code and does not allow USADA or WADA to test. I have yet to see an NHL journalist criticising the NHL's anti-doping efforts. Probably because that person would immediately lose his/her accreditation.
Like for example there's the case of Boogaard, he even failed the lame NHL doping test several times, nothing happened. NHL team doctors gave him extremely strong painkillers like they were candy. If this happened in Europe then many people would have gone to prison for many years. NHL has quite a lot of skeletons in the closet; deaths, suicides, brain injuries, addictions... But you don't see any 'journalist' holding the NHL accountable. Everyone's like, let's move on there's nothing to see here.