You Know Who Else Is Profiting From Obama's Tax Cut Extension? Professional Athletes

Obama basketball

Like their rich brethren, professional athletes stand to earn big from the Obama tax cuts.

For example, NBA blogger Henry Abbott notes if you assume all NBA players get the 4.6 per cent cutback of the highest bracket – an assumption made more for convenience than accuracy – they stand to save a total of $84.7 million.

That works out to about $200,000 more in each player’s pocket in 2011.

A (very) rough estimation has NBA owners saving $69 million from the tax breaks, but, in all likelihood, that figure is a lot higher. One can calculate savings across other sports, too. However, the NBA is the only league where we can safely assume most players are in the highest tax bracket, as its median and mean salaries are the largest across sports.

Abbott goes a little bit too far though when he begins to speculate how this $150+ million savings could impact collective bargaining as the owners try to save some $750-$800 million in player costs. We all know the owners would deny any indicators that they’re turning a profit.

See what they still have to give up in taxes, depending on what city they play in >

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