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Washington is the eighth team with a luxury tax


Washington is the eighth team with a luxury tax
20.12.2017

Washington Nationals became the eighth club in history to pay a `luxury` tax to MLB. In 2017, for the first time, citizens in Sofia have exceeded their eligible salary budget and are now charging a $ 1, 45 million fee under the balanced baseball program. It was adopted in its current form in 2002 and was modified with each subsequent collective agreement. By the current rules (2017-2021), any team that exceeds the set threshold for the season owes a 20% tax on the first offense, 30% for the second, and 50% third for eachnext until it falls below the border. Additional sanctions of 12% have been enforced since that year, exceeding $ 20 million to $ 40 million, and 45 percent for over $ 40 million. The no-limit for 2017 was $ 195 million.

For the fourth consecutive year, the highest `luxury` tax will pay the Los Angeles Dodgers;$ 36, 2 million The National League champion is a violator for the fifth consecutive season and for this period has accumulated a total of $ 150 million for the fee.




The usual suspect -;New York Yankees, owes another $ 15. 7 million and continues to be the only club that has been sanctioned for all 15 years of the existence of this tax. The Yankee`s total bill has already risen to $ 341 million paid since 2003.

This season`s finals are two more teams -;San Francisco Cants ($ 4, 1 million) and Detroit Tigers ($ 3, 7 million), the `giants` are debtors for the third consecutive year and the `tigers` for the second consecutive. There are only three teams punished with a luxury tax:Anaheim Angels (2004), Boston Red Sox (2004-2007, 2010-2011, 2015-2016) and Chicago Cubs (2016). Checks must be transferred to MLB`s commission office by January 21, 2018 at the latest. The first $ 13 million of tax collected is used to provide additional benefits to players and 50% of the remainder goes to the individual pension fund. The other 50% is distributed to clubs that have not exceeded the salary ceiling. Under the 2016 collective bargaining agreement, the allowable budget threshold will continue to grow to $ 197 million in 2018, $ 206 million in 2019, $ 208 million in 2020, and $ 210million in 2021



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