Around The NHL #2 - All Stars and Bye Weeks

I have a question with this article, just for clarification. With this following passage:

"The treaty provides that a signing bonus paid by a Canadian NHL team to a U.S.-resident player would be taxable in Canada – but that tax may not exceed 15 per cent of the gross amount of the payment.
Assuming the player's U.S. tax rate exceeds 15 per cent (it does, remember the 37-50 per cent), the bonus would effectively be taxable at a combined rate equal to his normal U.S. rates. And so, there is no Canadian tax cost disadvantage on the signing bonus amount."

So it's taxable at a combined rate equal to his normal U.S. rates? So if he claims AZ as residence that's what it would be?

Just trying to make sure I'm reading it correctly... taxes are not super fun reading.

 

It is tough to decifer and even more so taking small sample sizes. I'm sure his group will use whatever they need to ensure he pays the least taxes possible , I would not be surprised if he is incorporated to ensure more tax benefits. I think the signing bonus tax benefit is ensuring he pays tax in the most beneficial jurisdiction and he gets to use the Tax difference for almost a year before paying the balance.

 

The form is 8840 also. Read it, AM is NOT a US resident. Closer Connection Exception Even though you would otherwise meet the substantial presence test, you will not be treated as a U.S. resident for 2018 if: • You were present in the United States for fewer than 183 days during 2018; • You establish that during 2018, you had a tax home in a foreign country; and • You establish that during 2018, you had a closer connection to one foreign country in which you had a tax home than to the United States.
Even if AM can some how pass the first requirement, he won't for two and three. Not sure how much tax AM is going to pay, but he won't be classified as a US resident player when it comes to taxes.

 

Don't see how being incorporated would help him as he is an employee of the TML's, unless that law in Canada has changed. If he had property etc. it would be a different story. Like you said, these organizations have accounts and attorney's coming out of their you know what and know every angle known to man kind.

 

It would be the same way Doctors now do it in Canada. They are paid by one client only yet incorporate to reap the benefits. And the closer connection I'm not sure that an American playing in Canada would be in Canada more than 180 days per year? The season is roughly 7 months and some of that is played in the US. And for final thought, signing bonus is paid July 1st when Matthews is probably not in Canada meaning he did not earn that mobey in Canada if we are getting technical. Stew Gavin group, who manages money for many Nhl'ers tweeted today that Matthews would be taxed at AZ rate whike playing for the Leaf's.

 

One other wrinkle a lot of athletes in Canada use is a Retirement Compensation Arrangement (RCA). A large portion of Matthews compensation can be put into this tax free where it can be invested and grow until he retires from hockey. After which the tax rates for withdrawing money from the RCA is subject to country of residence and tax treaties. Specific %'s will vary, but the player's effective tax rate can be significantly reduced with a RCA.

It's very helpful for European players in certain countries with low tax rates on these sorts of pension/retirement accounts like Russia.

 

Randy Carlyle sacked in Anaheim.

GM is taking over as HC.

 

Was kinda hoping they’d keep riding him out until the end of the year. Last thing we want is Anaheim getting life after this

 

Murray has never coached before at any level. Interesting.

 

Can you say *cough* Dallas Eakins *cough* ???

 

I guess. And I can understand wanting to keep him in San Diego until the fall. Finish the season there and come in with a clean slate. A little strange they didn't just make one of Carlyle's assistant the interim though.

 

I’ll just drop this here and then run like hell......

 

In b4 people saying we gave up too early on him

 

No. We gave up on Strome too early. Domi too. Domingue we gave up on too late.

 

no, no, no, we just didn't surround Domingue with elite talent

 

It's true, and he's benefited from good timing.

During Lou's 10 game win streak the Bolts scored 49 goals.

In Vasilevskiy's last 10 games his team supported him with 24 goals.

Sometimes it's better to be lucky than good.

 

I thought Loui was a scape goat back then for Toccs train wreck D strategy. Glad to see him getting the benefit of a better team in front of him. He is a decent goal tender.

 

I guess it is an unusual way of seeing what the leadership really is like in his squad (particularly highly paid vets) and finding out if his players really want to be there and battle - now and for the future. Results might not follow but he will sure know whats what.

 

Domingue has done the job needed for Tampa ie. cover very well for Vas when he was injured and fill in here and there when Vas is healthy.

Good for him.

He was unable to do that for us and we do not need any more back ups. No regrets and all the best

 

I remember some....consternation....about Cholowski a few months ago.
Well in his last 19 games he has 2 points, is barely getting 3rd pairing minutes, and just got sent down to the AHL. On his birthday too which is kinda cold

 

But he's still a better player than Chychrun, right?

 

He was also scratched on Cholowski Bobblehead Night

 

Funny to see Canadian media and best TSN pundits really struggling with current trade deadline nothingness.

Creativity and fantasy a plenty.

 

The problem with LD is between the ears. He can't handle pressure. Let can let in 5 goals but Tampa will still win by one.