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Monday 17 deceMber 2018
APNewsBreak: Champion Red Sox owe nearly $12M in luxury tax
By RONALD BLUM 16 seasons, a total of $37.1
AP Baseball Writer million. The Red Sox paid in
NEW YORK (AP) — Boston 2015 and '16, then dropped
should be happy to pay under the threshold by just
this tax bill. over $3 million in 2017, re-
The World Series champion setting their tax rates to the
Red Sox owe $11,951,091 in lowest level this year. Bos-
luxury tax for having base- ton paid at a 28.1 percent
ball's top payroll, accord- effective rate.
ing to final calculations by Washington is paying for
the commissioner's office the second straight season,
obtained by The Associ- raising its total to $3.8 mil-
ated Press. The only oth- lion.
er team that owes is the Only eight teams have
Washington Nationals, who gone over the tax thresh-
must pay $2,386,097, their old: Detroit paid $9 million
second straight year with a over three seasons, San
bill. Francisco $8.9 million over
Because Boston was more three seasons and the Los
than $40 million over the Angeles Angels $927,000 in
tax threshold, it became 2003. Next year's tax starts
the first team to incur a at $206 million, and Boston's
new penalty put in place rates will rise from 20 per-
for the 2018 season: the cent to 30 percent on the
top Red Sox selection in first $20 million over, 32 per-
next June's amateur draft This Oct. 28, 2018, shows Boston Red Sox owner John Henry, partially hidden at left, and chairman cent to 42 percent on the
will be dropped 10 places. Tom Werner holding the championship trophy beside manager Alex Cora, right, after Game 5 of next $20 million and 62.5
Boston's top pick had been baseball's World Series against the Los Angeles Dodgers in Los Angeles. percent to 75 percent on
projected to be No. 33 Associated Press any amount over $246 mil-
overall before the penalty. lion. Red Sox president of
Boston has owed tax in and option buyouts and just Steve Pearce, who added had paid tax in each of the baseball operations Dave
the years of three of its over $14 million per team in $3,208,602 to the payroll, previous five seasons, a to- Dombrowski predicted Bos-
four titles this century, pay- benefits. Boston's payroll for including a $50,000 Series tal of $149.6 million. ton against will exceed all
ing $3,148,962 in 2004 and the tax was $239.5 million, MVP bonus; pitcher Na- The Cubs were fifth at three thresholds next year.
$6,064,287 in 2007. The exceeding the $237 million than Eovaldi, who added $193.3 million, and the Yan- Washington's rate rises to 50
Red Sox stayed under the threshold that triggered the $720,430 and became a kees sixth at $192.98 million percent on the first $20 mil-
tax threshold when they draft penalty. Washington's key component to the title — the first time the Yankees lion over, 62 percent on the
won in 2013. The only oth- was $205 million. run with a pair of postsea- finished under the threshold next $20 million and 95 per-
er championship teams to Boston boosted its payroll son wins and a six-inning after 15 consecutive years cent on any amount over
owe since the tax began during spring training when relief outing in World Series over that resulted in taxes $246 million. Checks for the
in 2003 were the 2009 New it added slugger J.D. Marti- Game 3 against the Los totaling $341.1 million. competitive balance tax,
York Yankees at $25.7 mil- nez, who counted at $23.75 Angeles Dodgers; and sec- By dropping under the as it is normally known, go
lion and the 2016 Chicago million on the tax payroll ond baseman Ian Kinsler, threshold, the Yankees and to the commissioner's office
Cubs, at $2.96 million. and then earned $700,000 who added $3,766,666. Dodgers reset their tax rates and are due by Jan. 21. The
This year's initial tax thresh- in bonuses while leading San Francisco had the for 2019 and put themselves first $13 million of tax money
old was $197 million, count- the major leagues with 130 third-highest payroll at in better position to pursue is used to fund player ben-
ing payrolls by average an- RBIs. $195.7 million followed by a talented free-agent class efits and 50 percent of the
nual values and including Ahead of the July 31 trade the Dodgers at $195 million that includes Bryce Harper remainder will be used to
earned bonuses, adjust- deadline, the Red Sox ac- — up from $182 million on and Manny Machado. fund player Individual Re-
ments for cash transactions quired World Series MVP opening day, The Dodgers Boston has owed in nine of tirement Accounts. q
Continued from Page 18 sible backups. D'Arnaud, team in 2018 but missed
Ramos crosses another who turns 30 in February, the game with a hamstring
item of the to-do list of new has been on the disabled issue, and injuries have
general manager Brodie list in five straight seasons been a problem for him the
Van Wagenen. The former as injuries limited him to past few years. Most nota-
agent made a blockbuster 366 major league games, bly, he tore his right ACL at
deal with Seattle for sec- an average of 73 per sea- the end of a breakout 2016
ond baseman Robinson son. He was 3 for 15 (.200) season with the Washing-
Cano and closer Edwin with one homer and three ton Nationals, likely costing
Diaz this month and also RBIs in four games this year himself millions of dollars as
brought back former New when he felt tightness in a free agent that winter.
York closer Jeurys Familia his right elbow during pre- He ended up with Tampa
on a $30 million, three-year game drills in Miami. He Bay on a two-year, $12.5
deal last week. The team was sent to New York and million deal. He was also
may still pursue an up- had an MRI that revealed on the disabled list twice in
grade in center field and a a torn ulnar collateral liga- 2015 — with a broken little
left-handed reliever. ment. Mets medical direc- finger in his right hand and
In this July 9, 2018, file photo, Tampa Bay Rays catcher Wilson Ramos is expected to be tor Dr. David Altchek per- a strained left elbow — in
Ramos heads for the field during a baseball game against the
Detroit Tigers, in St. Petersburg, Fla. New York's primary catch- formed Tommy John sur- 2016 with a strained right
Associated Press er, with Travis d'Arnaud gery on April 17. rotator cuff and in 2017
and Kevin Plawecki as pos- Ramos made the AL All-Star with a bruised right wrist.q