467 replies to this topic

[Nigel Tufnel]

They can't sell the team while PA is still alive because of the tax consequences, right?

[Mackus]

They can't sell the team while PA is still alive because of the tax consequences, right?

 

I think that everything goes to his wife when he dies, not the sons.  So don't think his death matters from an estate planning perspective until she also dies and then the franchise would be inherited by the sons and they'd owe a big Estate Tax bill.

 

Capital gains tax is a lot lower than the estate tax, so I think what they want to do is pay the Estate Tax based on a Trump-esque lowball valuation of the franchise and then sell the team for a lot more than they just valued it and pay the capital gains.

 

Sounds more complicated than e-Filing, so its well beyond my wheelhouse.

[Nigel Tufnel]

I thought that if a spouse inherits the team, she gets the stepped up basis (i.e. the difference between the purchase price and the current value of the team, which is like a billion dollars) tax free, so it would be crazy to sell while PA is alive...  I might be wrong, though.

[BSLMikeLowe]

They can't sell the team while PA is still alive because of the tax consequences, right?

 

There are higher tax implications if they sell before he passes, though some of those can be mitigated. Given that the club is at the center of this legal spat, they for sure won't be able to sell until that is settled. It would probably help if the MASN issue is settled before it goes up for sale as well. Even though that seems pretty likely to go against the Orioles, you'd at least have cost certainty for the new owner.

[mdrunning]

If the team were to be sold while Peter Angelos is still alive, then the capital gains would be calculated by the price he paid for the team ($173 million) against its current sale price. If the team were to sell for $1.73 billion, for example, then $1 billion would be subject to capital gains. On the other hand, should the sale not occur until after Peter Angelos passes, then the capital gains would be based upon its appraised value at the time of his death vs. the actual sale price, which would mean a much lower tax obligation.

 

I'm guessing that's why the family reportedly retained an appraiser.

[BSLMikeLowe]

If the team were to be sold while Peter Angelos is still alive, then the capital gains would be calculated by the price he paid for the team ($173 million) against its current sale price. If the team were to sell for $1.73 billion, for example, then $1 billion would be subject to capital gains. On the other hand, should the sale not occur until after Peter Angelos passes, then the capital gains would be based upon its appraised value at the time of his death vs. the actual sale price, which would mean a much lower tax obligation.

 

I'm guessing that's why the family reportedly retained an appraiser.

 

I think your math is off by a half-billion or so.

[mdrunning]

I thought that if a spouse inherits the team, she gets the stepped up basis (i.e. the difference between the purchase price and the current value of the team, which is like a billion dollars) tax free, so it would be crazy to sell while PA is alive...  I might be wrong, though.

No, you're right. It would be pure folly to sell the team while Peter Angelos is still alive. That's why I can't understand why Louis Angelos is claiming in his lawsuit that his brother, John, "thwarted efforts for a sale of the Orioles. . ." Well, of course, he did. Anyone with any knowledge of estate planning would have seen the reasoning behind it.

[mdrunning]

I think your math is off by a half-billion or so.

You're probably right. The point was, the capital gains tax would be the difference between the last sale price and the current one if the team were to be sold while Peter Angelos was still alive.

[Nigel Tufnel]

I think your math is off by a half-billion or so.

He meant 1.173B, not 1.73B.

[dude]

If you don't think what they are doing is working, pay attention to the responses just in this thread.

 

They are chnaging the narrative.

 

...be on Team MLB.  

[BSLMikeLowe]

Not sure what the subject of this press conference was, but apparently John Angelos feels MLK would have found it inappropriate for him to answer a question about the OPACY lease on his holiday.

 

When a simple "I'm not going to answer that question right now" won't suffice.

 

https://twitter.com/...047036944158725

[You Play to Win the Game]

That’s a little unnerving. Even his non-verbals.

[BSLMikeLowe]

That’s a little unnerving. Even his non-verbals.

 

He looked very visibly uncomfortable.

[Mike in STL]

He looked very visibly uncomfortable.

He looks like someone spent $9.4M of his dollars on Adam Frazier and a minor leaguer.

[BSLChrisStoner]

https://twitter.com/...hm6rhuQZAtPI7ig

[Pedro Cerrano]

Someone write this horrible family a blank check and get them out of our lives once and for all.

[Chris B]

Do we think he lives up to his promise that he’ll meet with the press next week?

[BSLMikeLowe]

Do we think he lives up to his promise that he’ll meet with the press next week?

 

Next week is the Lunar New Year. Chinese-Americans would no doubt find it offensive to discuss the Orioles lease on such an occasion.

[makoman]

Next week is the Lunar New Year. Chinese-Americans would no doubt find it offensive to discuss the Orioles lease on such an occasion.

Then later in the week is Holocaust Remembrance Day. No way should we be discussing such trivial matters then.

 

Of course then Black History Month starts...

[BaltBird 24]

The old man can't be doing well. Can this family ride off into the sunset yet?