Menu
Finance

Australian Football League Clubs Rebel Against Unclear Formula Behind Equalization

Clubs are becoming "increasingly frustrated by a lack of transparency" from the Australian Football League over the millions of dollars "they have been forced to contribute via the controversial revenue tax," according to Greg Denham of THE AUSTRALIAN. The clubs are continuing their "strong opposition to the luxury tax," which has been labeled the "KFC secret recipe" by Geelong CEO Brian Cook. He said that the league has "no formula" for the equalization measure that is costing 10 clubs almost A$7M ($5.1M) over two years, claiming it is a measurement of "secret herbs and spices" loosely cobbled together. Cook: "There is no formula for this wealth tax that is hurting a number of clubs. We've asked the league several times for it since it was first floated -- and we're still waiting for an answer." In one of two new equalization measures starting this year, 10 clubs will contribute A$6.72M ($4.9M) over the next two years to "their poorer rivals." Cook said, "We are going into debt to pay the equalization scheme. A future tax based on past revenue: it just doesn't make sense. And there's no flexibility in the system to cater for club revenue decreases. Revenues change all the time." Another high-ranking Melbourne-based club administrator said that the qualification for clubs paying the tax was "shrouded in mystery." He said, "No one's got the faintest idea about it" (THE AUSTRALIAN, 7/31).

SBJ Morning Buzzcast: March 18, 2024

Sports Business Awards nominees unveiled; NWSL's historic opening weekend and takeaways from CFP deal

ESPN’s Jay Bilas, BTN’s Meghan McKeown, and a deep dive into AppleTV+’s The Dynasty

On this week’s Sports Media Podcast from the New York Post and Sports Business Journal, ESPN’s Jay Bilas talks all things NCAA. Big Ten Network’s Meghan McKeown shares her insight into the Caitlin Clark craze. The Boston Globe’s Chad Finn chats all things Bean Town. And SBJ’s Xavier Hunter drops in to share his findings on how the NWSL is making a social media push.

Learn more about your ad choices. Visit megaphone.fm/adchoices

SBJ I Factor: Nana-Yaw Asamoah

SBJ I Factor features an interview with AMB Sports and Entertainment Chief Commercial Office Nana-Yaw Asamoah. Asamoah, who moved over to AMBSE last year after 14 years at the NFL, talks with SBJ’s Ben Fischer about how his role model parents and older sisters pushed him to shrive, how the power of lifelong learning fuels successful people, and why AMBSE was an opportunity he could not pass up. Asamoah is 2021 SBJ Forty Under 40 honoree. SBJ I Factor is a monthly podcast offering interviews with sports executives who have been recipients of one of the magazine’s awards.

Shareable URL copied to clipboard!

https://www.sportsbusinessjournal.com/Global/Issues/2015/07/31/Finance/AFL-KFC-Tax.aspx

Sorry, something went wrong with the copy but here is the link for you.

https://www.sportsbusinessjournal.com/Global/Issues/2015/07/31/Finance/AFL-KFC-Tax.aspx

CLOSE