Is Your Team Being Sold?
I just finished reading a good article on CNBC.com on the potential for a large number of professional sports teams to sell within the next few years.
The article points out several compelling reasons why this may occur. First, is Obama becomes president, the capital gains taxes paid by the many aging owners will likely double. In the example provided, the sale of the Pittsburgh Steelers after Obama’s tax hike would result in approximately $80 million more in taxes due then if the transaction is completed prior to the tax increase.
This is something to consider from a planning perspective for not only professional sports team owners but anyone with a business or highly appreciated assets that they plan to sell in the next few years. An increase from 15% to 28% could result in substantially more tax owed.
Secondly, the article points out that the repeal of the estate tax in 2010. I am not sure that the law is not going to change dramatically prior to this. As it stands right now, there is a lot of planning going on to determine how to transfer those assets in 2010.
The full article is here: Pittsburgh Steelers, Taxes (Obama) And Selling Sports Teams
Donna Bordeaux, CPA with Calculated Moves
Creativity and CPAs don’t generally go together. Most people think of CPAs as nerdy accountants who can’t talk with people. Well, it’s time to break that stereotype. Lively, friendly, and knowledgeable can be a part of your relationship with your CPA as demonstrated by Donna and Chad Bordeaux. They have over 50 years of combined experience as entrepreneurial CPAs. They’ve owned businesses and helped business owners exceed their wildest dreams. They have been able to help businesses earn many times more profit than the average business in the same industry and are passionate about helping industries that help families build great memories.