As many football fans from Cleveland to Chicago and beyond know, the NFL is tax-exempt. Or it was until recently when the league announced that it is relinquishing its tax-exempt status due to negative perceptions the status generated.
Commissioner Roger Goodell pointed out that all 32 teams pay taxes on income. He also said "the effects of the tax exempt status of the league office have been mischaracterized repeatedly in recent years."
Who misunderstood and mischaracterized that tax-exempt status? Everyone from fans to congressional representatives. This is yet another example of how even news stories about taxes can be difficult for both reporters and readers. The actual laws and tax codes themselves are much more complicated than the copy that flows through a newspaper office.
Because we assume few of our readers are NFL owners, we won't break down the effects of the change in tax status for the league. Instead, we'll take another look at a tax story that many readers undoubtedly found a little difficult to follow.
The Plain Dealer's editorial about taxes wasn't poorly written. It's just that the subject matter is both broad and very detailed at the same time, so it's very difficult to explain in a few hundred words. For instance, the editorial was against an "an unjustifiable income-tax break for business owners who pay themselves out of their business proceeds" but in favor of the House rejecting the governor's proposal to boost the state sales tax to 6.25 percent -- and at the same time, the editorial board wants the state senate to reinstate the governor's oil-and-gas severance taxes.
See what we mean? It's complicated business. Most folks would need to do some serious studying just to fully understand an editorial of less than 400 words.
Our point? Taxes and tax law are much more complicated than news articles on taxes. The experienced irs tax lawyers at Robert J. Fedor, Esq., L.L.C. can help you resolve serious, detailed complications with an audit, tax controversy, offshore accounts and tax issues, and other matters as well. Please see our IRS Audits page for more information.
