The Financial Situation (58 Viewers)

[Hust]

lol our stock value continues to slide


Well done Max.

 

Buy on AliExpress.com

[Hydde]

Just incredible. All that ronaldo marketing going to the waste.


The board should act.

 

[italiacalcio10]

"Over a certain amount" being 10 million. 99% of athletes don't even reach that.

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Oh fuck. I completely forgot about losing out on the money. Just when we'll need it to reinvent the midfield too.

That's exactly the problem. You tax entertainers, and star athletes. You don't get any of the wealthy who hold their assets in investments and generate wealth through dividends and capital gains (a lot unrealized). So the result if someone wants to buy an expensive car for $400,000, they some stock and pay 50% of the applicable marginal rate (if they don''t figure out a way to get around that). So the result is that these rich just accumulate wealth & pay very little tax because they have accountants to manage that. So then who does AOC's tax policy target? 1) star athletes 2) singers/actors 3) lottery winners

And on Lottery Winners...

On lottery winners: imagine you win a $930,000,000 powerball. Excluding State Tax, you would keep $585,000,000 at current rates so ~. So an effective tax rate of 37%. With AOC, you'd pay ~$3.7M in income tax on first 10 and then pay $644M on remainder (69.64% effective rate). So you keep $283,000,000M less state taxes. 45% of ticket proceeds (~$2.5B) already go to government organizations. So with AOC's law $2.5B of private citizen dollars get transferred to government with 45% going to government, 5% to pay expenses, the remaining 50% goes to winners. 68% of winner funds goes to jackpot.
So essentially:
Non-Jackpot (16%x.37%) = 6% of sales to tax before state taxes
Jackpot (34% x 69.6%) = 24% of sales to tax before state taxes
To State Governments, Education, Other = 45% of sales to tax
Admin expense 0% to tax

= 75% of ticket sales go to government, before state taxes.
State Tax Estimate: 3% from jackpot, 1% non-jackpot
= 79% goes to government.
To me that is absolute absurd.

To be clear: the wealthy should pay more taxes. Too often super rich find ways to avoid taxation. But a 70% tax rate on ordinary income above $10,000,000 is not the way to do it. It's insanity. You just end up penalizing: athletes, artists, and lottery winners.

 

[AFL_ITALIA]

That's exactly the problem. You tax entertainers, and star athletes. You don't get any of the wealthy who hold their assets in investments and generate wealth through dividends and capital gains (a lot unrealized). So the result if someone wants to buy an expensive car for $400,000, they some stock and pay 50% of the applicable marginal rate (if they don''t figure out a way to get around that). So the result is that these rich just accumulate wealth & pay very little tax because they have accountants to manage that. So then who does AOC's tax policy target? 1) star athletes 2) singers/actors 3) lottery winners

And on Lottery Winners...

On lottery winners: imagine you win a $930,000,000 powerball. Excluding State Tax, you would keep $585,000,000 at current rates so ~. So an effective tax rate of 37%. With AOC, you'd pay ~$3.7M in income tax on first 10 and then pay $644M on remainder (69.64% effective rate). So you keep $283,000,000M less state taxes. 45% of ticket proceeds (~$2.5B) already go to government organizations. So with AOC's law $2.5B of private citizen dollars get transferred to government with 45% going to government, 5% to pay expenses, the remaining 50% goes to winners. 68% of winner funds goes to jackpot.
So essentially:
Non-Jackpot (16%x.37%) = 6% of sales to tax before state taxes
Jackpot (34% x 69.6%) = 24% of sales to tax before state taxes
To State Governments, Education, Other = 45% of sales to tax
Admin expense 0% to tax

= 75% of ticket sales go to government, before state taxes.
State Tax Estimate: 3% from jackpot, 1% non-jackpot
= 79% goes to government.
To me that is absolute absurd.

To be clear: the wealthy should pay more taxes. Too often super rich find ways to avoid taxation. But a 70% tax rate on ordinary income above $10,000,000 is not the way to do it. It's insanity. You just end up penalizing: athletes, artists, and lottery winners.

I take it as more of a "publicity stunt," for lack of a better word, than anything else.

 

[italiacalcio10]

I take it as more of a "publicity stunt," for lack of a better word, than anything else.

Definitely sounds good - but thats politics. More show than substance.

 

[lgorTudor]

Just incredible. All that ronaldo marketing going to the waste.


The board should act.

Unlike your tampon, the board is doing its work

 

[Espectro]

BOD APPROVES FIGURES FOR THE FIRST HALF OF 2018/2019

https://www.juventus.com/media/nati...017-18/comunicato 28022019 semestrale eng.pdf

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The first half of the 2018/2019 financial year closed with a profit of € 7.5 million, posting a negative change of € 35.8 million compared to the profit of € 43.3 million registered in the same period a year earlier.

This negative variation mainly derives from lower revenues from players’ registration rights, down € 17.9 million, increased costs for players and staff, up € 38.2 million, higher amortisation and depreciation on players’ rights, up € 24.7 million, increased costs for the acquisition of materials intended for sale, up € 6.3 million, increased other expenses, up € 2.8 million, increased costs for external services, up € 3.3 million, increased current taxes, up € 1.5 million, and increased costs for other personnel, up € 1.5 million. These changes were partially offset by increased operating revenues, up € 57.5 million, and lower expenses from players' registration rights, down € 4 million. Other changes concerned lower net financial income, down € 0.3 million, increased provisions, up € 0.9 million, and other net positive changes, up € 0.1 million

 

[Mark]

Merchandise sales after 6 months is close to last year's[12 months].

 

[Cerval]

What the F is this? Eurosport can't stop posting articles saying FFP is closing down on us and that we'll sell players if we don't pass the round of 16

@Mark

 

[Hydde]

What the F is this? Eurosport can't stop posting articles saying FFP is closing down on us and that we'll sell players if we don't pass the round of 16

@Mark

I think regardless of FFP we will be forced to sell.

Financially speaking... it will be a royal failure if we fail to advance tomorrow.

 

[Ronn]

What the F is this? Eurosport can't stop posting articles saying FFP is closing down on us and that we'll sell players if we don't pass the round of 16

@Mark

FFP states that a club's losses over a rolling 3 year period should not exceed 30m. Can't see how that's applied to us.

 

[Cerval]

FFP states that a club's losses over a rolling 3 year period should not exceed 30m. Can't see how that's applied to us.

They say that our net spend was above 100 millions which is prohibited and we made a loss of 19 millions this year. They mention our debt of 300 millions. They state we would also make a loss of 50 millions if we don't pass the Rof16 and cite calcioefinanza

 

[Ronn]

They say that our net spend was above 100 millions which is prohibited and we made a loss of 19 millions this year. They mention our debt of 300 millions. They state we would also make a loss of 50 millions if we don't pass the Rof16 and cite calcioefinanza

From Juve financial statements, it appears that we posted a loss of 19.2m last June. If we go out tomorrow, considering CR7 cost us a lot, we can expect a loss at the end of this year as well. However, we signed a new Adidas deal that will probably offset some of that, and we still don't know how much of the CR7 wage is being paid by Exor. We should wait for this year's statement, but it's true that we cannot run big losses for 3 year in a row.

 

[s4tch]

...our net spend...

there's no such a thing in financial reports or in ffp regulations.

as ronn wrote, ffp considers the last 3 seasons. our profit/loss for the last 2 financial years were +42,5m and -19,2m, so with a ~50m of loss for this season, we were still good.

 

[Ronn]

oh also we do have to sell some players

 

[Hydde]

They say that our net spend was above 100 millions which is prohibited and we made a loss of 19 millions this year. They mention our debt of 300 millions. They state we would also make a loss of 50 millions if we don't pass the Rof16 and cite calcioefinanza

Wtf.

Is this even possible? I mean, for this to be happening right now?

We better overcome atletico tomorrow, or we will be in deep shit if true.

 

[Mark]

What the F is this? Eurosport can't stop posting articles saying FFP is closing down on us and that we'll sell players if we don't pass the round of 16

@Mark

 

[Buck Fuddy]

Wtf.

Is this even possible? I mean, for this to be happening right now?

We better overcome atletico tomorrow, or we will be in deep shit if true.

Really?
You don't see how this possible?,

Actually, scratch that, it's not only possible, it was to be expected.

 

[JCK]

oh also we do have to sell some players

But Higuain will not be sold.

 

[jukazem]

If we go out tomorrow, considering CR7 cost us a lot, we can expect a loss at the end of this year as well. However, we signed a new Adidas deal that will probably offset some of that, and we still don't know how much of the CR7 wage is being paid by Exor. We should wait for this year's statement, but it's true that we cannot run big losses for 3 year in a row.

Lol Juve isn't ManCity. Exor paying CR7's wages would be illegal!

Like every other year the break-even is set at CL semi-finals so there will be a manageable loss if Juve don't reach atleast semifinals. For a rough estimate, it would be like €40m loss in case of Ro16 exit, €20m if QF, it's how Juve budgets every year. With CR7 though, Juve's underlying sustainable revenue (revenue excluding plusvalenza) went up a lot, like €80m (my revised estimate after HF accounts) which is same as his annual cost for wages and amortisation.