Bryce Harper is reportedly signing with Philadelphia for 13 years and $300 million. Here are the tax implications of his new contract.
The Philadelphia Phillies have won the MLB free-agent lottery: Bryce Harper has reportedly decided to take his talents to the City of Brotherly Love for the next 13 years for a cool $330 million.
None of that matters now … well, except my wife, my kid and the Nationals. The important thing is how Harper will be taxed on his new deal. What Boras may not have realized is that Pennsylvania is one of the few states that includes a true signing bonus as allocable income, meaning a portion of that income is taxable to the state. Philadelphia, which has a higher tax rate than Pennsylvania, also includes signing bonuses as allocable income.
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