Poll

What would you do with the million-dollar ball?

Sell it
Donate it to the HOF
Keep it

Author Topic: What would you DO with Barry Bonds' home run ball?  (Read 791 times)

0 Members and 1 Guest are viewing this topic.

Offline 2k6nats

  • Posts: 9243
  • The regular season is a flat circle
http://sportsillustrated.cnn.com/2007/baseball/mlb/08/09/bonds.ball.ap/index.html

Quote
Matt Murphy could become $500,000 richer if he sells Barry Bonds' record-breaking home run ball.

The college student, however, may just want to hang on to it -- even if he's hit with a whopping tax bill.

"Part of me wants to keep it. It's the greatest American sports accomplishment in history," Murphy said Thursday on NBC's "Today Show." "Part of me might want to sell it, but I really am leaning towards keeping it. It's just too valuable, sentimental."

Selling the ball for that amount would instantly put Murphy in the highest tax bracket for individual income, where he would face a tax rate of about 35 percent, or about $210,000 on a $600,000 ball.

Even if he does not sell the ball, Murphy would still owe the taxes based on a reasonable estimate of its value, according to John Barrie, a tax lawyer with Bryan Cave LLP in New York. Capital gains taxes also could be levied in the future as the ball gains value, he said.


SI.com reports that Murphy might not sell the ball, and keep it for sentimental value.  What would you do?

I think I would sell it, although a part of me would want to keep it, and have the single most important item in baseball history in your possession.

Keep it.

That way Balco could never get his greedy, cheating, hands on it, it will never soil and disgrace the halls of the HOF, and it would vanish from public eye.

I'd also paint a huge * on the sweet spot.

Offline mikehughes

  • Posts: 1348
keep it for a little while, than maybe the price will go up to a million and sell it than

Offline UMDNats

  • Posts: 11970
Sell it. Take whatever I can get for it.

Offline soxfan59

  • Posts: 1201
  • Gough, Gough White Sox!!!
    • John R. Russell, Ltd.
http://sportsillustrated.cnn.com/2007/baseball/mlb/08/09/bonds.ball.ap/index.html

SI.com reports that Murphy might not sell the ball, and keep it for sentimental value.  What would you do?

I think I would sell it, although a part of me would want to keep it, and have the single most important item in baseball history in your possession.


I would have to vigorously dispute the statement in bold.  The ball has historic value, but I would daresay there are many items of baseball memorabilia that will eventually be valued much more than this record setting ball. 

I would sell it in a heartbeat, for as much as I could get.  Barroid Bonds is as mercenary as any ballplayer has ever been -- I would treat his memorabilia in the same way.

Offline JMW IV

  • Posts: 11302
  • Name on the Front > Name on The Back
sell it.

but half a mill is really a lowball offer, imo.

Offline NatsAddict

  • Posts: 4095



Based upon the past determination by the IRS and other famous baseballs, the guy may owe taxes at the time he comes into possession of the ball.  If that's the case, unless he has a few hundred thousand laying around, he may have to sell it.  Generally, whenever somebody wins a prize, they are taxed on the value of the prize at the time they take possession, not the value when it is later sold (although any increase in value over time may also be also taxable - such as with a house).


Offline spidernat

  • Posts: 54542
  • The Lerners are Cheap AND Crooked
(Image removed from quote.)


Based upon the past determination by the IRS and other famous baseballs, the guy may owe taxes at the time he comes into possession of the ball.  If that's the case, unless he has a few hundred thousand laying around, he may have to sell it.  Generally, whenever somebody wins a prize, they are taxed on the value of the prize at the time they take possession, not the value when it is later sold (although any increase in value over time may also be also taxable - such as with a house).




Love the pic.

That stuff about the guy being taxed based on what it may sell for is BS.

Offline NatsAddict

  • Posts: 4095
Love the pic.

That stuff about the guy being taxed based on what it may sell for is BS.

I agree on the tax situation - it stinks.  But they did treat all the McGwire, Sosa, and Bonds 2001 balls as prize winnings/found property.  Found property is taxable unless returned to the owner, and prizes are taxable unless ALL of the following are true:

1. You were awarded a prize in recognition of accomplishments in religious, charitable, scientific, artistic, educational, literary, or civic fields.
2. You were selected without any action on your part to enter the contest or proceeding.
3. You are not required to perform substantial future services as a condition to receiving the prize or award.
4. The prize or award is transferred by the payer directly to a governmental unit or exempt charitable organization as designated by you.  (You cannot then claim a charitable tax deduction for the assignment on your tax return as you simply do not declare the income).

If they take the same stance they have previously, the guy must make an estimated tax payment by September 15 unless he meets certain requirements (such as not having any taxable income for 2006 - he is a Mets fan, so that may be the case).

Doug Mientkiewicz returned the 2004 WS baseball to the MLB and the HOF rather than face a $3 million tax liability.  In that case, the ball was ruled abandoned by MLB, and found property, which he returned to its "rightful" owner.