{"id":2403642,"date":"2025-02-18T09:31:00","date_gmt":"2025-02-18T14:31:00","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/ultra-elite-americans-face-painful-hit-as-trump-to-ax-insane-tax-break-that-never-should-have-existed\/"},"modified":"2025-02-18T09:34:40","modified_gmt":"2025-02-18T14:34:40","slug":"ultra-elite-americans-face-painful-hit-as-trump-to-ax-insane-tax-break-that-never-should-have-existed","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/ultra-elite-americans-face-painful-hit-as-trump-to-ax-insane-tax-break-that-never-should-have-existed\/","title":{"rendered":"Ultra Elite Americans Face Painful Hit as Trump to Ax Insane Tax Break That Never Should Have Existed"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">36<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fultra-elite-americans-face-painful-hit-as-trump-to-ax-insane-tax-break-that-never-should-have-existed%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2403642&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>The article discusses the federal governmentS plan to eliminate tax breaks for <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/white-house-lists-tax-cut-demands-amid-funding-deal-talks-washington-examiner\/\" title=\"White House lists tax cut demands amid funding deal talks - Washington Examiner\">billionaire sports team owners<\/a>, a move announced by the Trump\u200c management. It criticizes the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/kevin-mccarthy-calls-on-pentagon-to-restore-nsa-general-counsel-michael-ellis-to-active-service\/\" title=\"Kevin McCarthy Calls on Pentagon to Restore NSA General Counsel Michael Ellis to Active Service\">long-standing practice<\/a> of\u200b the federal tax code benefiting\u2064 sports franchises,which \u200callows owners to amortize\u200d their initial\u2064 investment over time,similar to other businesses.Though, sports teams are treated differently due to\u200d the ability to \u200cwrite down the value \u200dof intangible assets like TV deals and player rosters,\u200d which typically appreciate \u2062rather than depreciate.\u2064 Tax \u200dattorney Eric Nemeth\u2064 points\u200d out that owning\u2062 a sports team is \u2062a privilege of the wealthy, as \u2063some owners have net worths \u2062exceeding $20\u2062 billion. The article argues that ending these tax loopholes \u2062is a step toward fairer taxation and reflects an essential reform that \u2062should\u2063 have\u200d occurred long\u2062 ago.While the \u2063potential revenue impact\u2064 is estimated to be \u200bmodest, proponents see it \u200bas a necessary change to\u2064 curb wasteful benefits\u2062 for \u2064the \u2064elite.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<p><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><\/p>\n<section> \t\t\t\t<script>console.log(\"ad slot (AC1)\")<\/script><script>console.log(\"ad slot (IC1)\")<\/script><script>console.log(\"ad slot (IC2)\")<\/script><script>console.log(\"ad slot (IC3)\")<\/script><script>console.log(\"ad slot (IC4)\")<\/script><script>console.log(\"ad slot (REP_0)\")<\/script><script>console.log(\"ad slot (REP_1)\")<\/script><\/p>\n<p>It&rsquo;s bad enough when city and state governments step in to <a href=\"https:\/\/amzn.to\/3YuVZYV\">subsidize professional sports teams<\/a>.<\/p>\n<p>However, when the federal government is doing it &mdash; and doing it through the federal tax code &mdash; that&rsquo;s even more indefensible.<\/p>\n<p>And, according to <a href=\"https:\/\/www.westernjournal.com\/state-rep-undergoes-voluntary-sterilization-fear-trump-administration\/\" target=\"_blank\" rel=\"noopener\">President Donald Trump&rsquo;s administration<\/a>, that&rsquo;s about to be coming to a swift end.<\/p>\n<p>According to <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2025-02-08\/trump-taxes-target-sports-owners-these-billionaires-could-be-hit-hardest\" target=\"_blank\" rel=\"noopener\">Bloomberg<\/a>, the administration said last week that it would move to &ldquo;eliminate all <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/what-would-happen-if-florida-revoked-disneys-special-governing-arrangement\/\" title=\"What Would Happen If Florida Revoked Disney\u2019s Special Governing Arrangement?\">special tax breaks<\/a> for billionaire sports team owners,&rdquo; per the words of White House Press Secretary Karoline Leavitt.<\/p>\n<p>The main way in which federal tax laws benefit those who buy sports teams has to do with the fact that tax laws treat them much like any other form of corporation, even as the ways they operate are completely different.<\/p>\n<p> <script type=\"text\/javascript\"> \t\t\tif ( getCookie( \"ff_subbed\" ) ) { \t\t\t\tdocument.getElementById(\"stnvideo\").remove() \t\t\t} \t\t<\/script> <\/p>\n<p>&ldquo;The main perks of ownership come from Internal Revenue Service rules that let buyers of sports franchises write down the value of their initial investments over 15 years,&rdquo; Bloomberg noted.<\/p>\n<p>&ldquo;Similar rules apply to other businesses: Buyers of factory equipment, for example, can lower their tax bills by deducting their purchase costs over time,&rdquo; the outlet added.<\/p>\n<p>&ldquo;A key difference with sports franchises, however, is the ability to write down a team&rsquo;s intangible assets, like its TV deals and player rosters, that are unlikely to lose value in the future.&rdquo;<\/p>\n<p>In fact, those things are likely to&nbsp;<em>appreciate<\/em> or be refreshed, in the case of rosters, meaning there&rsquo;s no <a href=\"https:\/\/www.westernjournal.com\/zg-donald-trumps-tax-returns-are-now-public-what-you-need-to-know\/\" target=\"_blank\" rel=\"noopener\">depreciation<\/a>.<\/p>\n<p>Unless, of course, you&rsquo;re the <a href=\"https:\/\/www.westernjournal.com\/cleveland-browns-owner-jimmy-haslam-federal-investigation-bribery-claims-report\/\" target=\"_blank\" rel=\"noopener\">Cleveland Browns<\/a> and you signed <a href=\"https:\/\/www.westernjournal.com\/ap-nfl-sees-strange-passing-plunge-week-1-first-time-since-2007\/\">Deshaun Watson<\/a> to an insane fully guaranteed contract, but the tax code doesn&rsquo;t exist to bail out rich idiots. I digress.<\/p>\n<p>Eric Nemeth, tax attorney and partner at the Varnum law firm, stated the blindingly obvious.<\/p>\n<p>&ldquo;You don&rsquo;t buy a sports team and hope to become wealthy; you&rsquo;re a wealthy person and you buy a sports team,&rdquo; Nemeth told Bloomberg.<\/p>\n<p>&ldquo;It&rsquo;s an elite club.&rdquo;<\/p>\n<p>Elite enough that at least six American pro sports owners have a net worth over $20 billion, according to the Salt Lake City <a href=\"https:\/\/www.deseret.com\/sports\/2024\/10\/01\/richest-pro-sports-owners-forbes-ryan-smith-utah-jazz\/\" target=\"_blank\" rel=\"noopener\">Deseret News<\/a>.<\/p>\n<p>Steve Ballmer, owner of the Los Angeles Clippers and the man behind this glorious viral clip during his time at Microsoft, tops the list at $123 billion.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p dir=\"ltr\" lang=\"en\">The key to success?<\/p>\n<p>Developers.<\/p>\n<p>Imagine. Create. Invent.<\/p>\n<p>Go build.&#8304;&#8304;Steve Ballmer, former CEO, Microsoft.<\/p>\n<p><a href=\"https:\/\/t.co\/TYJppUU0FR\">pic.twitter.com\/TYJppUU0FR<\/a><\/p>\n<p>&mdash; Brian Solis (@briansolis) <a href=\"https:\/\/twitter.com\/briansolis\/status\/1756192196091629849?\">February 10, 2024<\/a><\/p>\n<\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Rob Walton and his family, owners of the Denver Broncos, are second at $94.3 billion. It&rsquo;s a fall-off to Daniel Gilbert of the Cleveland Cavaliers at $33.1 billion, then Miriam Adelson and her family of the Dallas Mavericks at $29.8 billion, then Steve Cohen of the New York Mets and David Tepper of the Carolina Panthers at $21.3 billion.<\/p>\n<p>This isn&rsquo;t soaking the rich, mind you. It&rsquo;s merely looking at a wasteful tax loophole that shouldn&rsquo;t exist.<\/p>\n<p>We conservatives want taxes to be fair, the same as everyone else &mdash; and although the definition of &ldquo;fair&rdquo; might be different, I think we can all agree: This sounds egregiously unfair to <em>everybody<\/em>.<\/p>\n<p>This is the simple stuff that governments should be doing (<a href=\"https:\/\/www.westernjournal.com\/amid-dem-outrage-usaid-ernst-sets-record-straight-potentially-shuttered-agency\/\" target=\"_blank\" rel=\"noopener\">auditing USAID<\/a> is another one that comes to mind) but don&rsquo;t usually get around to because &ldquo;soak the rich&rdquo; sounds a lot better, at least if you&rsquo;re a Democrat.<\/p>\n<p>However, this is the kind of action that eventually makes a difference. An administration should start at the bottom and work its way up.<\/p>\n<p>Treating pro sports as if it were a normal business &mdash; where machinery and computers wear out and depreciate &mdash; is ludicrous. It needs to stop.<\/p>\n<p>Will the impact be small? Yes.<\/p>\n<p>&ldquo;Garrett Watson, director of policy analysis at the conservative Tax Foundation, estimates limiting deductions would have a relatively small effect. Over a decade, such a provision could raise from as little as hundreds of millions of dollars to at most a sum in the &lsquo;low billions,&rsquo;&rdquo; according to Bloomberg.<\/p>\n<p>It&rsquo;s something as opposed to nothing, but it&rsquo;s something that should have happened a <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/ben-franklins-name-scrubbed-from-tacoma-city-park\/\" title=\"Ben Franklin\u2019s Name Scrubbed From Tacoma ... Park\">long time ago<\/a>. Those are two things we should hope to hear from this administration frequently over the next few months.<\/p>\n<div style=\"position: relative;\">\n<div class=\"ff-fancy-header-container\"> \t\t\t \t<\/div>\n<div class=\"entry-submit-correction inner-content\">\n<div class=\"correction-form\">\n<form style=\"display: none;\">\n<div class=\"sc-name-field\"> \t\t\t\t\t\t<label>* Name<\/label> \t\t\t\t\t\t<br \/> \t\t\t\t\t\t<input type=\"text\" name=\"name\" required> \t\t\t\t\t<\/div>\n<div class=\"sc--field\"> \t\t\t\t\t\t<label>* <\/label> \t\t\t\t\t\t<br \/> \t\t\t\t\t\t<input type=\"text\" name=\"\" required> \t\t\t\t\t<\/div>\n<p> \t\t\t\t\t<label>* Message<\/label> \t\t\t\t\t<br \/> \t\t\t\t\t<textarea name=\"message\" required><\/textarea> \t\t\t\t\t \t\t\t\t\t<\/p>\n<div class=\"required-message\" style=\"display: none; padding-bottom: 15px;\">* All fields are required.<\/div>\n<p> \t\t\t\t\t<input type=\"submit\" value=\"Submit\" onclick=\"event.preventDefault(); firefly_sc();\"> \t\t\t\t\t \t\t\t\t\t<\/p>\n<div class=\"firefly-sc-confirm\" style=\"display: none;\">Success!<\/div>\n<\/p><\/form>\n<\/p><\/div>\n<\/p><\/div>\n<p> \t\t<script> \t\t\tfunction firefly_sc() { \t\t\t\tif( typeof window.captchaPublicKey==typeof undefined ){ \t\t\t\t\tconsole.error('window.captchaPublicKey is not defined'); \t\t\t\t} \t\t\t\tgrecaptcha.execute( window.captchaPublicKey, { action: 'submit_correction' } ).then( function( token ) { \t\t\t\t\tvar opts={ \t\t\t\t\t\taction:    'firefly_sc_submit', \t\t\t\t\t\tname:      document.querySelector( '.entry-submit-correction [name=\"name\"]' ).value, \t\t\t\t\t\t:     document.querySelector( '.entry-submit-correction [name=\"\"]' ).value, \t\t\t\t\t\tmessage:   document.querySelector( '.entry-submit-correction [name=\"message\"]' ).value, \t\t\t\t\t\tpost_id:   firefly_post_id, \t\t\t\t\t\tcap_token: token \t\t\t\t\t}  \t\t\t\t\tvar inputs=[ 'name', '', 'message' ];  \t\t\t\t\tfor( var i=0; i <inputs.length; i++ ) if( ! ( opts[inputs[i]]=document.querySelector( '.entry-submit-correction [name=\"' + inputs[i] + '\"]' ).value ) ) { \t\t\t\t\t\tdocument.querySelector( '.entry-submit-correction .required-message' ).style.display='block'; \t\t\t\t\t\treturn; \t\t\t\t\t}  \t\t\t\t\tdocument.querySelector( '.entry-submit-correction input[type=\"submit\"]' ).style.display='none'; \t\t\t\t\tdocument.querySelector( '.entry-submit-correction .firefly-sc-submitting-img' ).src=firefly_loading_gif_url; \t\t\t\t\tdocument.querySelector( '.entry-submit-correction .firefly-sc-submitting-img' ).style.display='inline-block';  \t\t\t\t\tconsole.log( 'ma subbing' );  \t\t\t\t\tif( firefly_post_id ) opts['post_id']=firefly_post_id;  \t\t\t\t\t\/* Send the data using post with element id name and name2*\/ \t\t\t\t\tvar posting=jQuery.post( firefly_ajax_url, opts );  \t\t\t\t\t\/* Alerts the results *\/ \t\t\t\t\tposting.done( function( response ) { \t\t\t\t\t\tif( response.success ) { \t\t\t\t\t\t\tconsole.log( response.data ); \t\t\t\t\t\t\tdocument.querySelector( '.entry-submit-correction .firefly-sc-submitting-img' ).style.display='none'; \t\t\t\t\t\t\tdocument.querySelector( '.entry-submit-correction .firefly-sc-confirm' ).style.display='block';  \t\t\t\t\t\t\tdataLayer.push( { 'event': 'submit-correction' } ); \t\t\t\t\t\t} \t\t\t\t\t}); \t\t\t\t}); \t\t\t} \t\t<\/script> \t     \t\t\t\t\t\t     \t\t\t\t\t<\/div>\n<p style=\"border: 1px solid #f5f5f5; padding: 16px;\">Advertise with The Western Journal and reach millions of highly engaged readers, while supporting our work. <a href=\"https:\/\/www.westernjournal.com\/advertise-us\/?wj_source=article\">Advertise Today<\/a>.<\/p>\n<p><script>console.log(\"ad slot (BA1)\")<\/script> \t\t<\/p>\n<div class=\"ff-fancy-header-container\"> \t\t\t \t<\/div>\n<style> \t\t\t \t\t\t.insticator-unit.type-commenting{margin: 0 10px 25px 10px}@media screen and (max-width:1060px){#div-insticator-ad-cmt-1, #div-insticator-ad-cmt-2, #div-insticator-ad-cmt-3, #div-insticator-ad-cmt-4{margin: 0 auto 25px auto !important;}}#div-insticator-ad-cmt-1, #div-insticator-ad-cmt-2, #div-insticator-ad-cmt-3, #div-insticator-ad-cmt-4{height: 280px !important; width: 336px !important} \t\t<\/style>\n<div class=\"insticator-unit type-commenting\">\n<div class=\"insticator-ads\"> \t\t\t\t \t\t\t\t \t\t\t\t<script data-cfasync=\"false\" type=\"text\/javascript\"> \t\t\t\t\tif ( ! getCookie( \"ff_subbed\" ) ) { \t\t\t\t\t\tInsticator.ad.loadAd(\"div-insticator-ad-cmt-1\"); \t\t\t\t\t\tInsticator.ad.loadAd(\"div-insticator-ad-cmt-2\"); \t\t\t\t\t} else { \t\t\t\t\t\tdocument.getElementById(\"div-insticator-ad-cmt-1\").remove() \t\t\t\t\t\tdocument.getElementById(\"div-insticator-ad-cmt-2\").remove() \t\t\t\t\t} \t\t\t\t<\/script> \t\t\t<\/div>\n<div class=\"insticator-ads additional\"> \t\t\t\t \t\t\t\t \t\t\t\t<script data-cfasync=\"false\" type=\"text\/javascript\"> \t\t\t\t\tif ( ! getCookie( \"ff_subbed\" ) ) { \t\t\t\t\t\tInsticator.ad.loadAd(\"div-insticator-ad-cmt-3\"); \t\t\t\t\t\tInsticator.ad.loadAd(\"div-insticator-ad-cmt-4\"); \t\t\t\t\t} else { \t\t\t\t\t\tdocument.getElementById(\"div-insticator-ad-cmt-3\").remove() \t\t\t\t\t\tdocument.getElementById(\"div-insticator-ad-cmt-4\").remove() \t\t\t\t\t} \t\t\t\t<\/script> \t\t\t<\/div>\n<\/p><\/div>\n<\/section>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>It&#8217;s troubling when local and state governments provide subsidies to professional sports teams, but it&#8217;s even more unacceptable when the federal government does so through tax legislation. The Trump administration has announced plans to end these special tax breaks for wealthy sports team owners. As reported by Bloomberg, White House Press Secretary Karoline Leavitt stated that the administration aims to eliminate these benefits. Currently, federal tax laws treat sports franchises similarly to other corporations, despite their unique operations. <\/p>\n<p>Bloomberg explains that one of the main advantages for sports franchise owners comes from IRS rules allowing them to depreciate their initial investments over 15 years. While similar deductions apply to other businesses\u2014like factory equipment purchases\u2014sports teams can also write off intangible assets such as TV contracts and player rosters, which are likely to appreciate rather than depreciate in value.<\/p>\n<p>Tax attorney Eric Nemeth pointed out that purchasing a sports team is not a path to wealth; rather, it\u2019s an investment made by already wealthy individuals. In fact, at least six American pro sports owners have net worths exceeding $20 billion.<\/p>\n<p>This isn&#8217;t about penalizing the rich; it&#8217;s about addressing a wasteful tax loophole that should not exist. Conservatives advocate for fair taxation for everyone, and this situation appears grossly unfair across the board.<\/p>\n<p>The government should focus on eliminating such loopholes instead of pursuing more populist &#8220;soak the rich&#8221; policies often favored by Democrats. Although limiting deductions may only yield modest financial returns over time\u2014estimated between hundreds of millions and low billions\u2014it is still a necessary step that should have been taken long ago<\/p>\n","protected":false},"author":1,"featured_media":2403643,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/www.westernjournal.com\/wp-content\/uploads\/2025\/02\/Trump-Sports.jpg","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[50558,50559,50556,50557],"class_list":["post-2403642","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","tag-economicimpact","tag-taxreform","tag-trumptaxbreak","tag-ultraelite"],"fifu_image_url":"https:\/\/www.westernjournal.com\/wp-content\/uploads\/2025\/02\/Trump-Sports.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2403642","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2403642"}],"version-history":[{"count":3,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2403642\/revisions"}],"predecessor-version":[{"id":2403646,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2403642\/revisions\/2403646"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2403643"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2403642"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2403642"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2403642"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}