As Derek Jeter will soon find out, if there's drawback in receiving tons of expensive gifts this season, it's the considerable taxes that must be paid on these presents.
The retiring New York Yankees captain has been lavishly honored in each city he's visited this year, with everything from a $34,000 watch (courtesy of former teammate Robinson Cano) to a personalized bottle of Napa Valley wine (from the Oakland A's). All told, Jeter received about $33,000 worth of gifts from other teams. And that doesn't even count the items he's received from individuals like Cano.
Not surprisingly, Jeter got the best haul from the Yankees. On "Derek Jeter Day" at Yankee Stadium he received a $600 massage therapy machine, a 10-day trip to Italy and a custom-made Waterford Crystal.
According to Rob Raiola, a certified public accountant who specializes in sports and entertainment, those presents will come with a significant price. Raiola told Bloomberg News that he estimates Jeter may owe as much as $16,000 in taxes when it's all said and done.
While that's almost unthinkable for most of us, for Jeter that amounts to about two innings of work. The 40-year-old is earning $12 million this season.
Jeter hasn't said what he'll do with all of the gifts, but Raiola points out that he could avoid taxation if he rejects them. The donations made to Jeter's Turn 2 Foundation (including a $22,222 check from the New York Mets) are not taxable income.
Jeter has managed to avoid some taxation before, and his primary residence -- a 30,875 square foot mansion nicknamed "St. Jetersburg" -- is not coincidentally in the no-income-tax state of Florida.