Baseball Musings
Baseball Musings
January 05, 2005
Beltran and Taxes

Outside the Beltway looks at the tax implications of a New York team signing Carlos Beltran, both for the player and the teams.


Posted by David Pinto at 12:59 PM | Free Agents | TrackBack (0)
Comments

Newsday points out an interesting point, though. First of all, Bernie and Brown come off the books after this year. Second of all, if an owner is building a new stadium, he is apparently exempt from paying the luxury tax. George is thinking about a new stadium. Think there is a link between the two?

Posted by: sabernar at January 5, 2005 02:04 PM

i don't know much about texas taxes but i assume they have some sort of flat tax (sales or otherwise) instead of an income tax?

Posted by: seamus at January 5, 2005 02:06 PM

Conversely, Beltran will have more endorsement opportunities in New York than he will in Texas. I think the tax issue makes no ultimate difference, and Houston is naive to believe it does.

Posted by: Larry Mahnken at January 5, 2005 02:33 PM

Texas has no state income tax.

Posted by: sabernar at January 5, 2005 03:10 PM

What Texas does have, though, is a fairly serious property tax (where you pay to local taxing entities, rather than the state), and a pretty steep sales tax.

I don't know if this really pertains to the discussion about Beltran, since I can't get to the site from here.

Posted by: Marty at January 5, 2005 05:15 PM

marty, thanks. The article talks about how Beltran could save because Texas has no income tax (so technically, Houston could pay him less and he would have more money than if NY paid him the same). Of course, this ignores sales and property tax differences to some extent. And endorsement opportunities. That is why I asked if there was a flat tax (sales tax is a flat tax) because states without income taxes usually make up for it somewhere else. They also tend to cut public services to make up for the revenue lost. I was mostly curious about these things.

Posted by: seamus at January 5, 2005 06:01 PM

I live in Manhattan, but recently bought a 2nd residence
in Florida, with the idea of making that my primary resi-
dence. In NYC, you have the highest state & local income
tax, high sales tax & high property taxes (you pay if you own a co-op), & I thought Florida would be better, as it has no
state income tax. I just got my property tax bill, & my
whole theory is down the drain. It is about 300% of what
I thought it would be. Texas may be the same way.

Posted by: susan at January 6, 2005 02:37 AM

If you believe Molly Ivins, Texas has already cut basic services to a point where, if I had school-age kids, I wouldn't want to live there.

Posted by: Linkmeister at January 6, 2005 02:52 AM
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