Lance Drury Law
Ste. Genevieve 573-883-3056
Columbia 573-886-8900
St. Louis 314-200-0003

Analysis looks at state income taxes and pro sports team competitiveness

Might state income taxes impact how competitive a state’s sports teams are? A recent informal analysis by an economist looked into this issue.

The economist compared the state income tax rates and winning percentages of teams in the National Football League, the National Basketball Association, Major League Baseball and the National Hockey League. In making these comparisons, the economist took efforts to control for other factors that he identified as having the potential to impact a team’s competitiveness.

The analysis indicated that, since the 1990s, when other factors are controlled for, teams in states with lower tax rates have tended to have slightly higher winning percentages than teams in states with higher tax rates. The league in which state income tax rate showed the biggest impact on winning percentage was the NBA. Meanwhile, the league in which it showed the least impact was the MLB. As a note, the MLB doesn’t have a salary cap.

Why might state income tax rate impact the competitiveness of a state’s sports teams? Among the possibilities are that higher state income tax rates combined with salary caps might make it harder for a team to attract and sign top players.

This analysis underscores a larger point, and that is that taxes are interconnected with a many different parts of our society and lives and have the potential to impact a wide range of things, including things that one might not directly connect with taxes.

Among the things state income taxes and issues related to such taxes have the potential to have significant impacts on are the lives of the state’s residents. For example, when a person incurs a large state tax debt or runs into other problems regarding state taxes, the matter and the decisions they make in trying to address the matter can have wide-ranging impacts on their future, financially and otherwise. So when responding to state tax problems, a Missouri taxpayer may desire guidance from an experienced tax lawyer.

Source: The Washington Post, “Study: Blue-state politicians are undermining their home-state sports teams,” Max Ehrenfreund, April 24, 2017

No Comments

Leave a comment
Comment Information

As Seen On

NBC ABC Fox News Channel USA Today BIO - The Biography Channel CBS
NBC ABC Fox News Channel USA Today BIO - The Biography Channel CBS

Schedule a No Obligation Tax Consultation

Contact us today and get relief from your tax burden. You can also receive a FREE chapter from the best-selling book, Protect and Defend, just by requesting it from the form below.

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

The Law Firm of Lance R. Drury
150 Merchant Street
Ste. Genevieve, MO 63670

Phone: 314-200-0003
Fax: 573-883-3095
Ste. Genevieve Law Office Map

St. Louis Office
3636 South Geyer Road, Suite 100
St. Louis, MO 63127

Phone: 314-200-0003
Fax: 314-238-7201

Columbia Office
3610 Buttonwood Drive, Suite 200
Columbia, MO 65201

Phone: 573-886-8900
Fax: 573-886-8901

Facebook Twitter You Tube Linked In Rss Feed
Review Us

Back to Top

"The choice of a lawyer is an important decision and should not be based solely upon advertisements."

- Lance

Privacy Policy | Business Development Solutions by FindLaw, a Thomson Reuters business.