When a MLS team like the Seattle Sounders visit Atlanta to face Atlanta United the state of Georgia receives an influx in revenue. This revenue increase goes well beyond the hospitality and food and beverage industries. In fact the state of Georgia gets to opportunity to collect state tax liabilities for all of the active Seattle Sounders team members. These tax obligations are very beneficial for the state of Georgia, and have peaked our interest as to how much money the state of Georgia will approximately collect from the top 6 earning players of Seattle Sounders.
An athletes’ state tax contribution is calculated using their salary, the number of games/matches in a sports season divided by the amount of days that game/match is being played in the state, and state tax percent.
[(An athlete’s salary) / (number of matches or games in the season that is played in the state) * (state tax percent)]
Our first step in calculating a players’ state tax contribution will be identifying what each players’ salary is for 2018.
Spotrac.com lists the 6 highest earning players and their salaries as:
Nicolas Lodeiro~ $2.302mm
Clint Dempsey makes~ $1.65mm
Osvaldo Alonso makes~ $1.141mm
Victor Rodriguez makes~ $1.087mm
Roman Torres makes~ $645k
Kim Kee-Hee makes~ $632k
We already know that there are 34 games in the MLS season, and Georgia state tax is calculated at 6%. So now we have everything we need to project approximately how much the top 6 earning Seattle Sounders players will owe the state of Georgia.
Nicolas Lodeiro will owe Georgia ~ $4,063
Clint Dempsey will owe Georgia ~ $2,912
Osvaldo Alonso will owe Georgia ~ $2,015
Victor Rodriguez will owe Georgia ~ $1,919
Roman Torres will owe Georgia ~ $1,138
Kim Kee-Hee will owe Georgia ~ $1,115
This blog article is not intended to be the rendering of legal, accounting, tax advice or other professional services. Articles are based on current or proposed tax rules at the time they are written and older posts are not updated for tax rule changes. We expressly disclaim all liability in regard to actions taken or not taken based on the contents of this blog as well as the use or interpretation of this information. Information provided in this website is not all inclusive and such information should not be relied upon as being all inclusive.