LeBron James announced this evening that he’s going to be a member of the Miami Heat and will play along side Chris Bosh and Dwayne Wade.
And who can blame him for making the move when Florida has no state income tax and Barack Obama’s tsumani of tax increases are beginning January 1, 2011. I’m sure there are a number of reasons why he’s going to Miami other than taxes, but that was the first thing that came to my mind when I heard his announcement.
Pat Riley had to make up ground coming down the homestretch, but the Miami Heat president has secured his triple crown.
LeBron James is coming to South Florida, to join Dwyane Wade and Chris Bosh on a team that is poised to jump from NBA also-ran to immediate championship contender.
In front of the national glare of ESPN’s cameras, James completed Thursday what Wade and Bosh started Wednesday, a three-pronged partnership of All-Stars and Olympic teammates that could rival anything since the league has offered since Magic, Kareem and Worthy with the Lakers, and Bird, McHale and Parish with the Celtics.
Read the rest here.
Update: Evidently, others are asking whether taxes played a part in LeBron James’ decision to move to Miami:
While sports reporters have sought agents and teammates for the inside scoop on where NBA superstar free agent LeBron James will sign, there’s another person who may know The King’s next move: his accountant.
In a July 1 blog post, the New York Post warned that “dysfunctional lawmakers in Albany” could cost the state a chance to bring the coveted athlete to New York.
“If LeBron James goes to the Miami Heat instead of the [New York] Knicks, blame our dysfunctional lawmakers in Albany, who have saddled top-earning New Yorkers with the highest state and city income taxes in the nation, soon to be 12.85 percent on top of the IRS bite,” the Post said.
The tax savings for James in Miami over New York City would be staggering, according to the Post’s analysis.
“On a five-year contract worth $96 million — what he’d get from the Knicks or the Heat — LeBron would pay $12.34 million in New York taxes.” Florida has no state income tax.
New Jersey and Ohio, the other reported frontrunners to attract James, also have state income taxes, but they are not as his as in New York. Based on a $96 million contract, James would pay $5.69 million in state taxes if he re-signed with the Cleveland Cavaliers. If he signed with the New Jersey Nets, James would pay $10.32 million in state taxes.