Minn.: Eagles Won the Super Bowl, But They'll Lose on Tax Day

Minn.: Eagles Won the Super Bowl, But They'll Lose on Tax Day
Story Stream
recent articles

Even though the Philadelphia Eagles bested the New England Patriots in the big game, the tax man is who really comes out ahead. Minnesota has some of the highest personal income tax rates in the United States, which means each player from the Eagles will pay around $7200 to the state of Minnesota before they pay the federal portion of the taxes on their winnings. 

From Reason:

And that's just the start. Minnesota also imposes a so-called "jock tax" on athletes that visit the state for practices and games. Income earned during the days leading up to Sunday's big game will be taxed at the state's top marginal rate of 9.85 percent. Only California has a higher jock tax, and even states with no personal income taxes—like Texas and Florida, both frequent Super Bowl hosts—still hit up professional athletes, coaches, and team staff with special taxes.

Robert Raiola, chief of the sports and entertainment group at PKF O'Connor Davies, a New York–based accounting firm that specializes in working with athletes, tells Philly.com that most players on the two teams would have spent about a week in Minnesota during the lead-up to the Super Bowl. That works out to about 3 percent of their total working time for the year, and their tax bills will vary depending on how much they earned during the season. Raiola told Time that Patriots quarterback Tom Brady, who earned about $15 million in salary this year, could end up owing Minnesota roughly $43,000.

Read Full Article

Show commentsHide Comments

Related Articles