Rumors Surfacing of Houston, Portland, NYK Trade

[cucad8]

On a side note: I'm not buying the income tax issue as being a factor. Remember that we have no sales tax. That means Melo could buy his car, condo, bling, clothes, meals, etc all tax free.

state income is definitely a factor but it might not be a disqualifying one

IIRC, tax is calculated according to where games are played; 1/82 for each game. So, 41 games would be half of Melo's salary. Theoretically, 13M would be subject to Oregon State income tax. What with deductions and such it would probably still be a million. 80K a month to the state. He'd definitely feel that, and that's only for his NBA contract

it's actually very complicated from what I've read, and if Anthony has endorsement and investment income that will be taxed in Oregon...another big ouch!

I'd be curious to see how the endorsement type things would work if he isn't a resident of Oregon. I get taxing the income on games he plays here, but if he never officially establishes residency, is a resident of NY, or wherever, and also, if he had those endorsement deals prior to moving here...I dunno. Curious how that all works.

[Wizenheimer]

On a side note: I'm not buying the income tax issue as being a factor. Remember that we have no sales tax. That means Melo could buy his car, condo, bling, clothes, meals, etc all tax free.

state income is definitely a factor but it might not be a disqualifying one

IIRC, tax is calculated according to where games are played; 1/82 for each game. So, 41 games would be half of Melo's salary. Theoretically, 13M would be subject to Oregon State income tax. What with deductions and such it would probably still be a million. 80K a month to the state. He'd definitely feel that, and that's only for his NBA contract

it's actually very complicated from what I've read, and if Anthony has endorsement and investment income that will be taxed in Oregon...another big ouch!

I'd be curious to see how the endorsement type things would work if he isn't a resident of Oregon. I get taxing the income on games he plays here, but if he never officially establishes residency, is a resident of NY, or wherever, and also, if he had those endorsement deals prior to moving here...I dunno. Curious how that all works.

it's been nearly 30 years, but one year I split time living and working in Oregon and Alaska. Unfortunately, and I still remember this crystal clear since it cost me, the State of Oregon said I had worked/lived in Oregon for 187 of the 365 days. Yeah, there was time off for weekends and such but they still said I was a resident because it was more than 182.5 days. Oregon is pretty strict about taxing people who 'work' here, even if they have a legal residence in another state

maybe that's changed but I'd be surprised if it has

on the other hand...how long is an NBA season...7-8 months with training camp? 210-240 days? How much time do players spend out of state for road games? probably at least 80...so maybe, technically, they could claim residency of another state if they were physically in Oregon less then 182.5 days

[PDXKnight]

On a side note: I'm not buying the income tax issue as being a factor. Remember that we have no sales tax. That means Melo could buy his car, condo, bling, clothes, meals, etc all tax free.

state income is definitely a factor but it might not be a disqualifying one

IIRC, tax is calculated according to where games are played; 1/82 for each game. So, 41 games would be half of Melo's salary. Theoretically, 13M would be subject to Oregon State income tax. What with deductions and such it would probably still be a million. 80K a month to the state. He'd definitely feel that, and that's only for his NBA contract

it's actually very complicated from what I've read, and if Anthony has endorsement and investment income that will be taxed in Oregon...another big ouch!

Dang I bet it costs a fortune for an NBA player to file taxes!

[Renegade]

I don't think it's where you live, but where you work. I have worked with several people who lived in Washington, but worked in Oregon and they paid Oregon state income tax.

[Renegade]

I don't think it's where you live, but where you work. I have worked with several people who lived in Washington, but worked in Oregon and they paid Oregon state income tax.

[cucad8]

I don't think it's where you live, but where you work. I have worked with several people who lived in Washington, but worked in Oregon and they paid Oregon state income tax.

That's correct, and why they have to file taxes in every state they play. I just dunno if endorsement money is split the same. 50% in Oregon, and then %s all over, because he plays here? If he is a rep of Jordan brand, it's kind of a year round thing with him wearing their stuff, if he shoots a commercial for them, he's not doing it as a PTB employee.

[DusterBuster]

RealGM Blazer board, come for the basketball, stay for the indepth Oregon tax rule discussions.

[Ripcity4life]

I wish Melo or someone in the know would come out and say the following -- " Melo is not interested in going to Portland " --- cause i feel the longer we do not hear that from Melo's camp the more likely it could be Melo ends up a Blazer. Also not to mention i am getting sick of this Melo Soap opera that will NEVER friggin end.

[PDX MM]

state income is definitely a factor but it might not be a disqualifying one

IIRC, tax is calculated according to where games are played; 1/82 for each game. So, 41 games would be half of Melo's salary. Theoretically, 13M would be subject to Oregon State income tax. What with deductions and such it would probably still be a million. 80K a month to the state. He'd definitely feel that, and that's only for his NBA contract

it's actually very complicated from what I've read, and if Anthony has endorsement and investment income that will be taxed in Oregon...another big ouch!

I'd be curious to see how the endorsement type things would work if he isn't a resident of Oregon. I get taxing the income on games he plays here, but if he never officially establishes residency, is a resident of NY, or wherever, and also, if he had those endorsement deals prior to moving here...I dunno. Curious how that all works.

it's been nearly 30 years, but one year I split time living and working in Oregon and Alaska. Unfortunately, and I still remember this crystal clear since it cost me, the State of Oregon said I had worked/lived in Oregon for 187 of the 365 days. Yeah, there was time off for weekends and such but they still said I was a resident because it was more than 182.5 days. Oregon is pretty strict about taxing people who 'work' here, even if they have a legal residence in another state

maybe that's changed but I'd be surprised if it has

on the other hand...how long is an NBA season...7-8 months with training camp? 210-240 days? How much time do players spend out of state for road games? probably at least 80...so maybe, technically, they could claim residency of another state if they were physically in Oregon less then 182.5 days

I read in a different thread that Melo gets a bulk percentage of his contract at the beginning of the season and the rest is paid in monthly installments. Not sure if this is SOP for everyone but wouldn't that mean he would be paying even more state tax since that payment would be made in Oregon?

[Billy]

I am way more excited about the possibility of Carmelo to Portland than the previously rumored deals where we'd help him go to HOU.

I know there are concerns about his attitude etc ., but to me, I am not very concerned. I think he's done a considerable amount of maturing since his waning days in Denver. It may not be a completely smooth transition by day one, but I see players that are here being of the type and quality that they would understand and accept there may be some adjustments.

In terms of how things would play out on the court, it's hard for me to not be excited by the potential. Anthony is still an elite scorer and can carry a team--but for the first time in his career he wouldn't have to. Having someone of his ability that can create his own offense and warrant double teams will just open things up even more for Lillard and McCollum.

I would be very interested if Portland gets some interest from a FA or two if Melo comes. Obviously, a lot would likely depend on the contracts that go out, but assuming it's some combo of Hark, Crabbe/Meyers, Vonleh, and maybe a small contract like Layman or Pat, you could have some need at the backup wing or possibly center. Guys like Tony Allen, Brandon Bass, Roy Hibbert, JaVale McGee, or Mo Speights may not seem like the types that'd sign (or we'd want) at this very moment. Maybe even someone like Chris Bosh could be considered and interested. But with someone like Carmello being added, those kinds of veteran presences start making a bit more sense to me.

[Wizenheimer]

Spoiler:

I'd be curious to see how the endorsement type things would work if he isn't a resident of Oregon. I get taxing the income on games he plays here, but if he never officially establishes residency, is a resident of NY, or wherever, and also, if he had those endorsement deals prior to moving here...I dunno. Curious how that all works.

it's been nearly 30 years, but one year I split time living and working in Oregon and Alaska. Unfortunately, and I still remember this crystal clear since it cost me, the State of Oregon said I had worked/lived in Oregon for 187 of the 365 days. Yeah, there was time off for weekends and such but they still said I was a resident because it was more than 182.5 days. Oregon is pretty strict about taxing people who 'work' here, even if they have a legal residence in another state

maybe that's changed but I'd be surprised if it has

on the other hand...how long is an NBA season...7-8 months with training camp? 210-240 days? How much time do players spend out of state for road games? probably at least 80...so maybe, technically, they could claim residency of another state if they were physically in Oregon less then 182.5 days

I read in a different thread that Melo gets a bulk percentage of his contract at the beginning of the season and the rest is paid in monthly installments. Not sure if this is SOP for everyone but wouldn't that mean he would be paying even more state tax since that payment would be made in Oregon?

I'm not sure...I think we have a couple of financial planners who post here...maybe they can answer

there may be some controlling provision about when income is earned rather then when it's paid; everything I've read implies NBA player earn 1/82nd of the salary for each game, so the fact that Melo could be getting a substantial advance on salary may not impact that 1/82 formula

[DusterBuster]

I wish Melo or someone in the know would come out and say the following -- " Melo is not interested in going to Portland " --- cause i feel the longer we do not hear that from Melo's camp the more likely it could be Melo ends up a Blazer. Also not to mention i am getting sick of this Melo Soap opera that will NEVER friggin end.

I hear you on that. As interesting as this latest development is, I would like some sort of followup on how realistic the Blazers shot is.

Also, how is it this always happens with Melo? His Denver drama seemed to drag on for ages as well.

[britblazerdude]

Imagine how many bandwagoners there would be if we got Melo.

[DusterBuster]

Imagine how many bandwagoners there would be if we got Melo.

Honestly, probably not many. The perception of the Blazers standing within the West will change, but Melo's star has fallen considerably.

[PDXKnight]

I'd love to find a way to somehow pry ariza from Houston to facilitate a melo to Houston trade. Personally I'd much rather have him than melo

[DusterBuster]

I'd love to find a way to somehow pry ariza from Houston to facilitate a melo to Houston trade. Personally I'd much rather have him than melo

I just don't really understand that thinking. If the Blazers were in the East, sure. But why make another western conference team that you have to face 4 times a year substantially better for only incremental improvements. Like, I'm FAR from convinced of the Harden/CP3/Melo trio being a good fit together (quite the opposite actually), but the talent with that trio is pretty irrefutable. Even as a terrible fit, that's still 3 extremely talented guys on one team with potential for a 4th in LeBron since his dream is ending his career playing alongside CP and Melo.

So yeah, I'm not seeing much incentive to help that along for role players like Ariza, Anderson, Lee or O'Quinn. I'd much rather just see PA each his luxury tax.

[Ripcity4life]

I am not totally sold the Blazers really want Melo but i think what they really want is to get Myers off the books so they can apply that money to what will be needed to keep Nurkic a Blazer. I think they are trying to get contracts that are 2 years and under so i think Ariza is one of the players they would want back.

Also i think it's going to be at least another few days cause until the new Knicks GM meets / talks to Melo nothing is going to happen unless some new offer blows him away. All i know is i want this to be over by the end of the week one way or another cause i am tired of it.

[Wizenheimer]

But why make another western conference team that you have to face 4 times a year substantially better for only incremental improvements. Like, I'm FAR from convinced of the Harden/CP3/Melo trio being a good fit together (quite the opposite actually), but the talent with that trio is pretty irrefutable. Even as a terrible fit, that's still 3 extremely talented guys on one team with potential for a 4th in LeBron since his dream is ending his career playing alongside CP and Melo.

So yeah, I'm not seeing much incentive to help that along for role players like Ariza, Anderson, Lee or O'Quinn. I'd much rather just see PA each his luxury tax.

I think that's partly true

to start with, Port/Hou played 3 times last season. Blazers won one game. I don't think Houston would get fat playing Portland

for another, Melo is 33 years old, the Warriors are still the Warriors, and Popovich is still the coach of the Spurs. Rockets won't be creating any kind of dynasty and will almost certainly fade before the Warriors do

so, IMO, Portland's shouldn't concern themselves much about how a trade impacts a team from another division. They should mainly be concerned in if they could get a beneficial trade. For instance, Meyers + Davis for Ariza + O'Quinn makes Portland better and erases a bunch of tax exposure next season and the year after; that would be a worthwhile move

[Soulyss]

Spoiler:

it's been nearly 30 years, but one year I split time living and working in Oregon and Alaska. Unfortunately, and I still remember this crystal clear since it cost me, the State of Oregon said I had worked/lived in Oregon for 187 of the 365 days. Yeah, there was time off for weekends and such but they still said I was a resident because it was more than 182.5 days. Oregon is pretty strict about taxing people who 'work' here, even if they have a legal residence in another state

maybe that's changed but I'd be surprised if it has

on the other hand...how long is an NBA season...7-8 months with training camp? 210-240 days? How much time do players spend out of state for road games? probably at least 80...so maybe, technically, they could claim residency of another state if they were physically in Oregon less then 182.5 days

I read in a different thread that Melo gets a bulk percentage of his contract at the beginning of the season and the rest is paid in monthly installments. Not sure if this is SOP for everyone but wouldn't that mean he would be paying even more state tax since that payment would be made in Oregon?

I'm not sure...I think we have a couple of financial planners who post here...maybe they can answer

there may be some controlling provision about when income is earned rather then when it's paid; everything I've read implies NBA player earn 1/82nd of the salary for each game, so the fact that Melo could be getting a substantial advance on salary may not impact that 1/82 formula

More HOT tax talk!

[Wizenheimer]

I wonder if Houston's owner putting the team up for sale will put the dampers on a possible Melo trade