People that earn more money spend more money, therefore the sales tax has similar impact on the total financial picture for high earning athletes in Tennessee.
Confirmed Signing with Link: [NSH] Pekka Rinne extended (2 years, $5M AAV)
- Thread starter Teekko
- Start date
Tax shelters get you relief on income tax. There’s no relief for sales tax. Also, taxes are paid in the city you play the game in so you’re only getting income tax relief on 41 home games
True, but let's not act like half the income is not a huge tax relief... it probably amounts to close to a million compared to higher tax states/provinces
Still... it's known that sales taxes are more beneficial for the wealthier tier of society. You ain't going to buy 5x the food because you have more money, have 6 cellphones, etc. The % of money spent on total salary should be much lower for someone doing 5M as opposed to someone doing 60k.
Good signing anyway!
https://www.bankrate.com/finance/taxes/state-with-no-income-tax-better-or-worse-1.aspx
When I first saw Rinne play, he was awful. His rebound control was non-existent. I thought he wouldn't have a long career ahead of him. Then he was drafted and went to become one of the best goalies in the world. Maybe that tells more about my talent evaluation skills than anyting else. Good signing by Nashville. It's interesting that a thread about Brandon Manning gets more replies than this one.
that's a +20% state income tax, so I'm going to say, you're completely wrong. Remember we still have federal income taxes. The most it would be even with a bad tax attorney in the very highest bracket in the US would be $209k and that's without the write-offs from playing in the other income taxed states.
Bruce Granville
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TitansVolsPreds615
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Hoping this means Pekka can retire a Pred. Would really hurt to see him in any other sweater. I think he really enjoys the dynamic with Saros. Saros isn't ready to be a full time starter. The Preds' advanced stats are still quite a bit better with Rinne between the pipes than Saros. 2 years should be enough runway to fully make the transition though.
They are basing those on a 82 game in the same city take home pay, which I don't believe is the way it works with the Jock Tax. It works for a chart like this because it allows you to put flat numbers for each team. They're also adding the Fed Income tax rate to the state income tax rate to get the total tax rate, so it's not figuring in on state income deductibles or federal income tax deductibles.
again, we have taxes here, just not an income tax. We still have the highest sales tax in the country, so you pay taxes, just not up front.
Whatever, I understand if you don't want to go thru this stuff... totally understand. I kind of like it, since it's relative to my work. It's hard to know how much exactly, but you guys (tax free states and nhl players in those markets) clearly benefit from it... in a substantial way (not just a few %)
I did go through it, and it's calculating the taxes wrong. If it's relative to your work you need to learn more about it. And again, we're not a "tax free state"
I gotta admit, I love how every signing for Tampa or Nashville becomes a tax debate. It's comical, really.
please tell me where I'm wrong.
Are Jock taxes figured into those charts?
Are deductibles figured into those charts?
Does Tennessee not have one of the nations highest sales tax?
or houses.... We also do pay tax on dividends and income from investments
Sorry, too long. Again, if you have interest and want to have an intelligent debate. Educate yourself.
SavageSteve
Registered User
The 'Jock Tax' no longer applies in TN:
Professional Privilege Tax for Athletes
The jock tax was $2,500 per game, up to a maximum of three games per annual tax period. In other words, the maximum amount an individual player was taxed per year was $7,500 ($2,500 x three games). The tax applied to anyone on the active roster, so it WAS lucrative for the state to get that out-of-state revenue! So when it was active, $165K in taxes to the State of TN for the visitors to play a road game in Nashville! $6.77M per season off of players not even living in the State and a tax that most voters would be behind as they weren't paying it!
Not that Jock tax, this one.
In the United States, the jock tax is the colloquially named income tax levied against visitors to a city or state who earn money in that jurisdiction. Since a state cannot afford to track the many individuals who do business on an itinerant basis, the ones targeted are usually very wealthy and high profile, namely professional athletes. Not only are the working schedules of famous sports players public, so are their salaries. The state can compute and collect the amount with very little investment of time and effort.
I know all I need too. I manage 7 call centers in 5 different states, I'm as good on taxes as I need to be.
Good talking to you though.
Great signing given both the low cap-hit and low term length. Rinne could have gotten more of both on the open market, especially coming off a Vezina. Nashville did very well here.
And we're catching up here with the tax debate!Ad
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