Page 1 of 2 12 LastLast
Results 1 to 10 of 20
  1. #1
    COJOMAY is offline Jersey Retired
    Join Date
    Dec 1969
    Posts
    7,005

    Bonds' 756th ball going to auction

    http://sports.yahoo.com/mlb/news?slug=ap-bondsball082207&prov=yhoo&type=lgns
    No. 756 is going to auction. Barry Bonds' record-breaking home run ball will be sold online, and fortunate fan Matt Murphy figures to be a half-million dollars richer.

    The 21-year-old New York man said Tuesday he had no choice but to sell the ball — several people told him he would be taxed on the souvenir just for holding on to it.

    "It wasn't hard. It was simple math. I'm upset by the decision I had to make," Murphy said. "I wanted to keep it. I'm young. I don't have the bank account. ... It would have cost me a lot more to keep it."
    That makes absolutely no sense to me!
    Kentucky Vikes Fan

    When you require nothing, you get nothing; when you expect nothing, you will find nothing; when you embrace nothing, all you will have is nothing.

  2. #2
    Prophet's Avatar
    Prophet is offline Jersey Retired
    Join Date
    Oct 2006
    Posts
    17,388

    Re: Bonds' 756th ball going to auction

    That seems kind of fishy, they could tax him 70% of the cost and it would still be zero.
    It was free.
    Get your facts first, and then you can distort them as much as you please. Mark Twain

  3. #3
    josdin00's Avatar
    josdin00 is offline Ring of Fame
    Join Date
    Dec 1969
    Posts
    3,619

    Re: Bonds' 756th ball going to auction

    It's taxable income, the same way that a slot machine jackpot is taxable.

  4. #4
    NodakPaul's Avatar
    NodakPaul is offline Jersey Retired
    Join Date
    Dec 1969
    Location
    West Fargo, ND
    Posts
    17,605
    Blog Entries
    1

    Re: Bonds' 756th ball going to auction

    "josdin00" wrote:
    It's taxable income, the same way that a slot machine jackpot is taxable.
    But that means he will be taxed on the sale of the ball.
    He would not have been taxed if he kept the ball.
    Zeus wrote:
    When are you going to realize that picking out the 20 bad throws this year and ignoring the 300 good ones does not make your point?

    =Z=

  5. #5
    Zeus's Avatar
    Zeus is offline Jersey Retired
    Join Date
    Apr 2006
    Location
    Minnesota.
    Posts
    23,937

    Re: Bonds' 756th ball going to auction

    "NodakPaul" wrote:
    "josdin00" wrote:
    It's taxable income, the same way that a slot machine jackpot is taxable.
    But that means he will be taxed on the sale of the ball.
    He would not have been taxed if he kept the ball.
    According to some articles I read after he caught it, yes he would.

    Here we go:
    http://www.sportingnews.com/yourturn/viewtopic.php?t=252822

    Mets fan could face big tax bill on Bonds' home run ball
    Print this | E-mail this | Comments on this article: 3


    Posted: August 8, 2007


    SAN FRANCISCO (AP) -- Before he celebrates his windfall, the New York Mets fan who emerged from a violent scrum clutching Barry Bonds' record-setting home run ball should probably call his accountant.

    As soon as 21-year-old Matt Murphy snagged the valuable piece of sports history Tuesday night, his souvenir became taxable income in the eyes of the Internal Revenue Service, according to experts.


    "It's an expensive catch," said John Barrie, a tax lawyer with Bryan Cave LLP in New York who grew up watching the Giants play at Candlestick Park. "Once he took possession of the ball and it was his ball, it was income to him based on its value as of yesterday,"

    That would instantly put Murphy, a college student from Queens, in the highest tax bracket for individual income, where he would face a tax rate of about 35 percent, or about $210,000 on a $600,000 ball.

    Even if he does not sell the ball, Murphy would still owe the taxes based on a reasonable estimate of its value, according to Barrie. Capital gains taxes also could be levied in the future as the ball gains value, he said.

    On the other hand, he said, if the ongoing federal investigation into steroid abuse among professional athletes takes a criminal turn for Bonds, the ball's value could go down -- which would likely allow Murphy to claim a loss.

    Not everyone concurs on Barrie's interpretation of the intersection between professional sports and the nation's tax code.

    But for its part, the IRS seems reluctant to clear up the confusion. With six-figure treasures so rarely falling out of the sky, the agency declined to comment Wednesday on what regulations would apply and whether they would be enforced in the case of the Bonds ball.
    More murkiness from the greatest department of the Federal government.

    =Z=


    Thanks to Josdin for the awesome sig!

  6. #6
    BloodyHorns82's Avatar
    BloodyHorns82 is offline Jersey Retired Feed The Frog Champion
    Join Date
    Jun 2006
    Posts
    9,691

    Re: Bonds' 756th ball going to auction

    Nice find Z.
    Interesting...
    I think it is BS though that the ball is considered taxable prior to the sale of the ball.
    It's a piece of leather and string.


    After the sale is one thing...that is straight income.

  7. #7
    Zeus's Avatar
    Zeus is offline Jersey Retired
    Join Date
    Apr 2006
    Location
    Minnesota.
    Posts
    23,937

    Re: Bonds' 756th ball going to auction

    "BloodyHorns82" wrote:
    Nice find Z.
    Interesting...
    I think it is BS though that the ball is considered taxable prior to the sale of the ball.
    It's a piece of leather and string.


    After the sale is one thing...that is straight income.
    A piece of leather and string worth $500,000.
    A bit different than catching a BP foul ball off Nick Punto's bat, eh?

    =Z=

    Thanks to Josdin for the awesome sig!

  8. #8
    gr8vike's Avatar
    gr8vike is offline Asst. Coach
    Join Date
    Dec 1969
    Posts
    509

    Re: Bonds' 756th ball going to auction

    Capital Gains tax can not be levied on him just for holding onto the ball. If you buy or recieve Stock in the stock market you can not be taxed until you sell the stock no matter how much the price of the stock has gone up. It should be the same as that IMHO!

    Thanks PPE for the Sig

    Fighting on the Internet is like competing in the Special Olympics, even if you win, you are still mentally challenged!

  9. #9
    BloodyHorns82's Avatar
    BloodyHorns82 is offline Jersey Retired Feed The Frog Champion
    Join Date
    Jun 2006
    Posts
    9,691

    Re: Bonds' 756th ball going to auction

    "Zeus" wrote:
    "BloodyHorns82" wrote:
    Nice find Z.
    Interesting...
    I think it is BS though that the ball is considered taxable prior to the sale of the ball.
    It's a piece of leather and string.


    After the sale is one thing...that is straight income.
    A piece of leather and string worth $500,000.
    A bit different than catching a BP foul ball off Nick Punto's bat, eh?

    =Z=
    Yes, but until he sells it it is nothing more than a piece of leather and string.

    After he sells it, it is worth $500,000

    After watching the twins stadium land issue, we all know how well estimating values of a property can go.
    Bonds ball is clouded with controversy, it could go higher than expected or much lower.
    It isn't fair.
    Wait until he sells the ball then tax it, would be the right approach IMO.

  10. #10
    jmcdon00's Avatar
    jmcdon00 is offline Jersey Retired Snake Champion, Moto Trial Fest 2: Mountain Pack Champion, LL City Truck 2 Champion, Arithmetic sequence Champion, Troops Tower Defense Champion
    Join Date
    Aug 2006
    Posts
    8,281

    Re: Bonds' 756th ball going to auction

    "Prophet" wrote:
    That seems kind of fishy, they could tax him 70% of the cost and it would still be zero.
    It was free.
    His basis is 0. So he would have to pay tax on the entire thing. I wouldn't think that he would have to pay taxes on it until he sold it. If he waited a year to sell it he would only have to pay long term capital gains on it (15%) but all his other income would be taxed at the highest rate of 35% but chances are he won't be working much anyway.

Page 1 of 2 12 LastLast

Similar Threads

  1. Replies: 20
    Last Post: 03-06-2008, 08:58 PM
  2. Vanity Auction
    By Vikefanman2000 in forum Two Beer Minimum
    Replies: 18
    Last Post: 02-20-2008, 07:13 PM
  3. Bonds 756th to be branded with asterisk
    By vike68 in forum General NFL Discussion
    Replies: 7
    Last Post: 09-29-2007, 07:25 AM
  4. New to Auction Draft...
    By darkflood in forum Fantasy Football Talk
    Replies: 3
    Last Post: 09-05-2006, 10:37 PM
  5. Thirsty Fan Gets Bonds' HR Ball
    By BadlandsVikings in forum The Clubhouse
    Replies: 13
    Last Post: 05-29-2006, 09:19 PM

Tags for this Thread

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •