4 posts tagged “baseball”

The hot topic today was the Mitchell Report, which did not include Alex Rodriguez.  However, I would like to focus on a topic that is a little more positive.  Even though the MLB does not allow for players to receive milestone bonuses the Yankees have managed to grant A-Rod Historic Achievement Bonuses.  While he is making $275 million over 10 years he will make an addition $6 million every time he ties the top four career home run leaders (Mays, Ruth, Aaron, Bonds) and another $6 million when he becomes the all time HR king with 763 home runs, assuming Barry Bonds never plays another game.  The argument for granting the Historic Achievment bonuses is because it will make him a more marketable player.  However, hitting a milestone of 50 home runs a year also make a player more marketable.  Would he be getting this same special treatment if he were on another team? 

For more details about the deal read the article on ESPN.

Major League starring BATMAN is a featurette by the one and only Jason Zomick, as Batman.  If you have time today please watch his quick clip and vote for his video at http://www.myvu15seconds.com/ .  This video takes places after the SOX won the world series and shows how Batman really feels about some of the players.  Since he lives in Boston it would be nice to grant this super hero a walk-on role in the major motion picture 4Chosen plus a trip to NYC.  While Batman has been famous for years its time to share some of that light with our red headed friend ( Voting ends today at 5PM EST).

What do bobble heads, build-a-bears, t-shirts, sports bags, ticket holders, gift cards, and a Keith Hernandez mustaches have in common?  They have all been give-aways at New York Mets home games.  Most recently, everyone at Friday nights Mets/Phillies game received a replica Keith Hernandez Mustache.  I thought this was the funniest and most ridiculous free give away I have ever received.  Keith's 'stache is well known among mets fans and has recently voted by the American Mustache Institute as having the Top Sports Mustache of all time, and was voted by Newsday as Greatest New York Sports mustache. 

When Barry Bonds blasted his 756 career home run into center field the other night, passing Hammering Hank Aaron, to gain the home run title one lucky fan caught ball worth a bundle of money.  By now, most of us know the story of Queens native, and Mets fan, Matt Murphy.  Now that he is the holder of a ball worth around $500,000, I am sure he is going to enjoy his vacation in Australia even more.  From the articles I have read it appears that Murphy is going to sell the ball and give half the proceeds to his friend, who joined him at the game.  That is an incredible gesture, but Murphy must realize that he has already taken on a considerable tax burden.  I saw the headlines in today's paper quoted Murphy saying "I won the lottery."  And, like every other lottery winner, there are huge tax consequences.  This historic baseball is considered to by a valuable asset by the government, and they will tax Murphy of the fair value of that asset.  Whether or not he chooses to sell the ball he will be taxed on that amount.  Lets say the ball is determined to be worth $500,000 then he will pay approximately $150,000, assuming he no other income (he is a college student and all).  After paying the tax on the estimated fair value of the ball Murphy would have to pay capital gains tax on anything above that value.

 
If I were Murphy I would wait until 2008 to sell the ball when his tax bracket is no longer in the 35% range.  However, it has been noted that if Barry Bonds is indited for using steroids the value of the ball will decrease, generating a capital loss that can be used as an income tax credit.  Mark McGuirres 70th HR sold for $3,000,000 while Barry Bonds 70th HR recently sold for $14,400.  This disparity in value shows the affects that the steroid allegation has had on baseball and will be considered when determining the value of HR 756.  Either way Murphy is going to have a serious tax bill in 2007, but he is still one lucky fan.