Dec 22, 2009, 11:05 AM EDT
The luxury tax is an arrangement by which teams [cough! — the Yankees — cough!] whose payroll exceeds a certain
figure determined each year are taxed on the excess amount. The tax is
paid to the league which then puts the money into its “industry-growth
fund.” I guess the industry as grown so it wouldn’t be appropriate to call it a slush fund or anything, but I’m not sure I’ve ever seen a breakdown of what actually happens to that dough.
Anyway, the Yankees have paid the tax every year since it was invented. In fact, they have paid $174 million of the tax’s $190 million in total collections since 2003. They are the sole team to pay it this year, getting rung up for $25.69 million. Put differently, their luxury tax is something like 70% of the Marlins total payroll.
Yet, despite the huge and disproportionate tax bill, they continue to prosper and don’t scream about tyranny and socialism and all of that. Not that I’m making a political statement or anything. That would be outside the scope of this blog, and I’d never ever go off on a non-baseball tangent, no sir.
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- Will Smith suspended for eight games for the foreign substance on his arm 58
- Will Smith’s ejection once again shows baseball’s silly approach to foreign substance rules 48
- And That Happened: Thursday’s scores and highlights 95
- Who really owns a home run ball? 65
- The story behind the Nationals squirting chocolate syrup on each other after big wins 43
- And That Happened: Wednesday’s scores and highlights 131
- Bryce Harper on Marvin Hudson ejection: “I don’t think 40,000 people came to watch him ump” 130
- And That Happened: Wednesday’s scores and highlights (131)
- Bryce Harper on Marvin Hudson ejection: “I don’t think 40,000 people came to watch him ump” (130)
- Bryce Harper ejected for second time in a week (122)
- GM Dan Jennings to be named the Marlins new manager. And it’s a terrible idea. (111)
- And That Happened: Tuesday’s scores and highlights (101)