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View Full Version : Yankees get their luxury tax bill.


WizardsofOzzie
12-23-2006, 12:36 PM
The Yankees were slapped with a $26 million luxury tax by the commissioner's office, raising New York's total to $97.75 million over the past four years.
Talk about adding insult to injury. Have a crappy season then have to pay 26 million for having that season.

http://sports.espn.go.com/mlb/news/story?id=2706672

DumpJerry
12-23-2006, 12:55 PM
I need a moment to collect myself.....

















:bandance: :supernana: :bandance: :supernana: :bandance:

Dan the Man
12-23-2006, 01:58 PM
Poor Yankees. If luxury tax truly taxed for the amount of luxury you enjoyed, Steinbrenner would be flat broke.

Fenway
12-23-2006, 03:17 PM
Theo threw in the tip

The Red Sox must pay a $497,549 luxury tax to the commissionerís office by Jan. 31.
The New York Yankees (http://news.bostonherald.com/search/?searchSite=true&keyword=Yankees&mode=all&sorting=pubdate) were the only other team to go over baseballís tax threshold in 2006. They must pay a $26 million tax.
According to final figures released yesterday, the Yanks finished with a $207.5 million payroll for their 40-man roster last season. The Red Sox were a distant second at $137.5 million. . .

http://redsox.bostonherald.com/redSox/view.bg?articleid=173574

HomeFish
12-23-2006, 08:50 PM
What's the enforcement mechanism for the luxury tax, I wonder.

Obviously the Yankees are going to pay this with no sweat, but what if they decided, for some reason, not to? Surely, baseball would not dare play a season without its flagship franchise.

ilsox7
12-23-2006, 08:57 PM
What's the enforcement mechanism for the luxury tax, I wonder.

Obviously the Yankees are going to pay this with no sweat, but what if they decided, for some reason, not to? Surely, baseball would not dare play a season without its flagship franchise.

If I'm not mistaken, it is a contractual duty (CBA). Therefore, failure to pay would be enforceable in a court of law. But it would never happen.

ondafarm
12-23-2006, 11:03 PM
What's the enforcement mechanism for the luxury tax, I wonder.

Obviously the Yankees are going to pay this with no sweat, but what if they decided, for some reason, not to? Surely, baseball would not dare play a season without its flagship franchise.

It previously was a good flogging, but Steinbrenner liked that too much, so it was revised to sending them a bill.

MetroPD
12-24-2006, 06:00 AM
I doubt Steinbrenner will bat an eye at the figure. With the amount of revenue generated by the Yankees year in and year out, the only thing Steinbrenner worries about is what free agents are available to buy, not the price for them.

itsnotrequired
12-24-2006, 02:07 PM
What's the enforcement mechanism for the luxury tax, I wonder.

Obviously the Yankees are going to pay this with no sweat, but what if they decided, for some reason, not to? Surely, baseball would not dare play a season without its flagship franchise.

In the first year of the National League (1876), the New York Mutuals and Philadelphia Athletics were well out of the race near the end of the season. They both had late season "western" trips to Chicago and St. Louis. The clubs would have lost money by going on the trips and elected to stay home. Result? They were both expelled. The league kicked out the teams with the richest history and in the two largest markets (whose populations at the time were greater than the other six cities combined). Either the league can exert authority over any club or it can't. It would be a PR disaster to let the Yankees skip out on their obligations and other owners wouldn't stand for it.

Besides, as ilsox7 stated, it is part of the CBA so it is a moot point.