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EnglishFitzPercy

Membre depuis
31 mai 2019
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Canadiens de Montréal
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Forum: Armchair-GM2 juill. 2019 à 19 h 30
Forum: Armchair-GM2 juill. 2019 à 19 h 9
Sujet: DO IT
<div class="quote"><div class="quote_t">Quoting: <b>Price_is_the_goat</b></div><div>oh. i must be wrong then. could you explian how players would avoid higher taxes from bonuses? like i know bonuses can be claimed anywhere in north america under some nafta agreement, but salaries cant</div></div>

Sure, it's a bit more complicated than that but I'll brush the rough picture.

It's not under nafta, it's because of a tax treaty between the US and Canada. The purpose is to avoid double taxation when some income would be taxable in both the US and Canada. Let's take Matthews for example. He's a US citizen which makes him liable to pay tax in the US on what he's earning from the Maple Leafs (in Canada). What the tax treaty does is limit to 15% the right of, in this example, Canada to tax Matthew's signing bonuses. Let's say his tax rate in Arizona is 40% but it will take into account the amounts paid in Canada so that overall Matthews' bonus is taxed at 40% (15% in Canada, 25% in the US). The idea is that overall, the US resident receiving a bonus in Canada will pay the same amount of tax that he would pay if it was earned in the US.

Matthews therefore pays 40% on his SB instead of 53% as is the rate in Ontario. A 13% saving on 55M in SB is an extra 7M for Matthews.
Forum: Armchair-GM2 juill. 2019 à 15 h 49
Sujet: DO IT
<div class="quote"><div class="quote_t">Quoting: <b>Price_is_the_goat</b></div><div><a href="https://theathletic.com/1050270/2019/06/27/yes-quebec-has-high-taxes-but-heres-how-the-canadiens-can-level-the-playing-field/" rel="nofollow noreferrer noopener" target="_blank">https://theathletic.com/1050270/2019/06/27/yes-quebec-has-high-taxes-but-heres-how-the-canadiens-can-level-the-playing-field/</a> this shoudl help. i believe brain wilde wrote an article a few weeks back. i cant seem to find it. but i read that one of the reasons duchene bought some property in nashville (he put it on air bnb) was so he could claim his bonuses there.</div></div>

Thanks. This article does not say that... Also, after digging a little bit, it sounds like Duchene bought this place for investment purposes (and next to his buddy's) , plus he always loved Nashville. Buying property and not living there is not enough to be considered a US resident and benefit from the reduced rate on signing bonuses.
Forum: Armchair-GM28 juin 2019 à 15 h 34
Forum: Armchair-GM13 juin 2019 à 15 h 58