Photo credit: Markerzone
Predators GM Barry Trotz has exposed Gary Bettman by stating the salary cap isn’t equal for all teams due to different income tax rules in North America.
Nashville is in the state of Tennessee, which doesn’t levy a state income tax. What this does is essentially allow players to get a bigger paycheck as the government takes less from them in taxes. Other teams that get to take advantage of this are the Florida Panthers, Tampa Bay Lightning, Vegas Golden Knights, Dallas Stars, and Seattle Kraken.
Trotz was interviewed on TSN’s Overdrive, admitting the advantage that he has over other teams and how it affects the salary cap.
“It is an advantage because your dollar goes a little bit farther,”
Nashville’s tax free advantage was seen in full force this summer as they signed some major key players such as Steven Stamkos, Jonathan Marchessault and Brady Skjei. Many experts felt the Predators won free agent frenzy day. Players love knowing they won’t get their salaries taxed in Nashville.
“When you talk to Stamkos or Marchessault or players that are serial winners, guys that have gone deep, have had good careers, and made a lot of money, it doesn’t go that far,” Trotz continued. “But it does help the middle group a little bit. For the elite players, the top players, they’re just looking for a place that’s serious about winning, wants to win, fits in their window.”
One needs to look no further than the most recent Stanley Cup champions, and how they are teams housed in tax-free states. The Panthers in 2024, the Golden Knights in 2023 and the Lightning in 2021 and 2020. Unfortunately for Canadian teams who have the highest income taxes in North America, if not the world, they have not won a Cup in over 30 years!
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