NEW YORK -- New York Yankees captain Derek Jeter has landed in tax
trouble with the state of New York. State officials say the shortstop
owes the state back taxes for claiming to live in Florida when his
actual residence is New York City.
The claim could cost Jeter millions of dollars.
Jeter's agent, Casey Close, has said that his client has made his home
in Tampa, Fla., since the mid-1990s, but state officials claim that
between the years of 2001 and 2003 Jeter was in fact a New York state
resident and should have been paying state income tax.
Florida residents do not pay state income tax.
Rest of article:
http://sports.espn.go.com/mlb/news/story?id=3113901&campaign=rss&source=ESPNHeadlines
Imagine the outcry if this was about A-Rod. Since it's Jeter, he's
either being unfairly victimized, or simply made an innocent mistake,
I'm sure.
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"This has been the best two months of my career from an enjoyment
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of this team." - Mark Teixeira
I'm surprised that NY doesn't have a rule that "if you're paid from
here then you pay our taxes". I thought that FL residents that
worked in AL had to pay AL state taxes because the source of the
income was from that state. I'm not sure why I think that, though,
as I have no personal experience with it.
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Cranial Crusader dgh 1138 at bell south point net
That would seem to make sense. How does it work in other states that
have state income tax?
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Now Playing: Yes - And You and I
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> Dale Hicks wrote:
> > In article <13jrodu...@corp.supernews.com>, karnevil9
> > @atlantabraves.net says...
> >> State officials say he's a New York resident; Jeter claims Florida
> >> ABCNews.com
> >>
> >> NEW YORK -- New York Yankees captain Derek Jeter has landed in tax
> >> trouble with the state of New York. State officials say the shortstop
> >> owes the state back taxes for claiming to live in Florida when his
> >> actual residence is New York City.
> >
> > I'm surprised that NY doesn't have a rule that "if you're paid from
> > here then you pay our taxes".
>
> That would seem to make sense. How does it work in other states that
> have state income tax?
I vaguely recall that several years ago several MLB cities tried to
collect income tax from visiting players on the theory that they were
working in their city. I don't recall what ever happened to these cases.
dick
They do, actually. If I get assigned to a project in Manhattan and I
work their more than three months (I think, it's been a while since I
really looked at the verbiage of the rule) I would have to pay some
portion of NYC taxes, even though I live in Atlanta and my company is
based out of Indianapolis. I would guess that Jeter has paid some
form of _those_ taxes but has been playing the "I don't really reside
in New York, I just rent there" game to avoid New York STATE income
taxes.
s/
What's odd, is it's only being alleged for a period of time a few years
ago. Is he now paying state taxes, or is he really living in Florida now?
That's because Alabama is just plain f*cked up! My wife and I worked
in GA but lived in Bama and had to pay AL tax on our GA income!
Part of the deal with athletes is that they earn their money where the
games are played, not where the team is based. So, Jeter earns money in
NY just for the home games. I suspect that there's a wrinkle in the
residence rules about "continuous days of residence", so that he can
claim that each homestand is a separate period of residence. New York
has different forms for resident and non-resident tax-payers. I last had
to deal with this about 15 years ago, so I don't remember the details of
the difference (which might have changed in the interim), but one
difference could certainly be the extent of the tax liability on income
*not* earned in NYS.
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None of the money I ever made in AL was subject to taxation by AL. It
was treated as SC income when living here, and not taxed (except
federal only) when I lived in FL. But then, the longest I ever worked
in AL at one time was probably 5 days, and I always received the
checks in the mail in my state of residence.
I think is true too.
Would you have paid less if you paid Georgia Income tax instead?
--
SB
Actually we do pay GA income tax because we file as a non-resident and
always get a refund. We always end up owing AL even more (if you can
believe that), but it usually balances out and we come out a little
ahead because of the different rates for each state.