Tuesday, March 12, 2019

MLB and State Income Tax


During the off-season, two MLB superstars signed massive contracts with the San Diego Padres and Philadelphia Phillies which could change the landscape of the league.  The location of these contracts could also dramatically change the amount they have to pay in state income tax.  Bryce Harper signed a 13-year $330 million-dollar contract with the Phillies where the Pennsylvania state income tax is a flat 3.07 percent.  Manny Machado signed a 10-year $300 million-dollar contract with the San Diego Padres that will have him paying 13.3% state income tax on his game salary when playing at home.  State income tax rates vary from state to state.  Good news for anyone looking to join the Miami Marlins is that Florida is one of the handful of states with no state income tax. 
                Find yourself in a state where you are paying heavy state income tax? Interested in taking advantage of some cost savings?  Contact the experienced attorneys of Morris Law Group for an immediate consultation.