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December 27, 2005

Steinbrenner Hit With $34 Million Luxury Tax Bill

by @ 3:29 pm. Filed under 2006 Season

We have a world where Cuba is pretty much the only communist holdout, and where even China is slowly converting to a free market economy. In Major League Baseball however, socialism is alive and well. While whiners like the Kansas City Royals moan about how they have such a small market and can’t compete, the Yankees are being hit with the bill. A $34 million dollar bill. Just because they want to win and George Steinbrenner is a financial genius and can make money by the truckloads.

I really hope the players union can get up after being kicked in the teeth (twice) and put an end to this bullshit. Most of that $34 million is coming out of the players pockets because you know Steinbrenner would have doled it out in salaries. And this doesn’t even include the other socialist policy, revenue sharing, which will also cost the Yankees several million dollars, again.

Over the past three years, the Yankees have paid out over $63 million in luxury taxes. That’s more then some team’s payrolls. Bud “Robin Hood” Selig must be proud.

The Red Sox were the only other team last year to be on the hook for luxury tax however their recent slide to mediocrity means they probably won’t have a tab in 2006. In the meantime, the Yankees will probably push their four year total up close to $100 million. And people say the Yankees are bad for baseball?? That doesn’t seem to stop them from holding their hands out begging for money.

4 Responses to “Steinbrenner Hit With $34 Million Luxury Tax Bill”

  1. Nick Says:

    Steinbrenner’s “financial genius” is that he owns a baseball team in the world’s biggest market. I’d like to see this genius at work in Kansas City. Oh by the way didn’t he announce he lost millions last year? Yeah, my company can certainly use a genius like that.

  2. Tom Says:

    Not sure if you realize this but Major League Baseball is a partnership between teams…

  3. Doug Says:

    You are aware that the Yankees lose money, right? Even before the tax? Because their money-losing franchise is “worth” $900M, they can borrow more and more (well over $200M now) against the bubble…

  4. John Says:

    The small market teams subsidize the Yankees and the larger markets by allowing them a virtual monopoly on those cities. The Royals and Twins and Devil Rays should move to New York..then you would have competition and then you could see whether Steinbrenner was a financial genius. With no competition it is rather easy to be a genius.

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