Australian Football League Players To Pocket Tax Breaks Under New Image Rights Deal

Australian Football League players will "pocket tax breaks on their football income under an image rights deal ticked off by the Australian Taxation Office," according to Michael Warner of the HERALD SUN. Changes to the league's player contract rules will "allow players to divert" up to 30% of their club wages to a private company or trust. Companies and trusts are "subject to lower tax rates than the top personal income tax bracket" of 49 cents in the A$1. A ranking system will be used to "determine how much money a player can assign for the use of their image." Fringe players can divert 5% of their wages and "middle-ranked players" between 10% and 25%. Only "first and second-year players, rookies and players on minimum salaries are ineligible." The scheme starts this season (HERALD SUN, 2/10).