The issue of taxes on NHL players is important, and Sharks GM Mike Grier has come out to say he'd hypothetically support a tax equalization plan. But will it happen?

The talk about taxes NHL players have to pay has come into the spotlight over the past year.

The fact that some teams benefit from having relatively low taxes is a topic fans and media are digging their teeth into. And on Tuesday, San Jose Sharks GM Mike Grier addressed the taxes issue at his mid-season availability, saying he would be in favor of a tax equalization plan – although he added he “could see both sides” of the tax debate.

The Hockey News investigated the tax issue for the Money & Power issue, and as many suspected, there are advantages for teams in no-tax American states, such as Texas and Florida. And NHL voices have spoken out about the issue – most notably, Nashville Predators GM Barry Trotz, who told TSN Radio in July that no-tax states have a much easier time attracting new players and retaining players than high-tax states (California, New York, New Jersey and Minnesota) or Canadian provinces do. Buffalo Sabres GM Kevyn Adams also said where they play has high taxes – and no palm trees.

So you can see why Grier would buy into a tax equalization plan. Indeed, given that the California teams were tied for sixth place in The Hockey News’ ranking of the highest-tax states, Grier would be right to do whatever he could to support evening out the financial playing field.

That said, figuring out a system that balances out the taxes players pay is not an easy task. When this writer interviewed NHL Players Association executive director Marty Walsh in November, he spoke directly on the tax issue.

“It's complex because…it's an issue that from jurisdiction to jurisdiction – when I say jurisdiction, it could be state, it could be province, it could be county, it could be area, it could be country, whatever it might be – the tax laws are different, right?" Walsh said. "And there's no uniform tax law. You know, for example, in Massachusetts, two years ago, the voters voted (for) the millionaires tax. That impacts most of our players. 

"You know, it's just really hard to figure out. It would be impossible because of the way tax structures, tax laws change, right? (They change) dramatically. And it's got to be (addressed) completely by the government. So it's hard for us to kind of intervene now.”

With those comments, Walsh poured some cold water on the tax issue, but the new labor deal will expire after the 2025-26 season. While we know hockey-related revenues will always be the major issue in negotiations, there seems to be relatively good relations between the NHL and NHLPA, and who knows – the tax issue could wind up gaining traction.

In any case, seeing an NHL GM come out and say they support a tax equalization plan is a notable move. Grier and Trotz understand why no-tax states have it easier than high-tax states and provinces. And with the abundance of sharp minds in the union and on the management side, there could eventually be a plan to level the balance of power when it comes to taxes.

Time will tell if we see progress on this issue. Right now, though, no-tax states will continue to have an advantage, and NHL fans are savvy enough to see the tax advantage as an important one. Whether this gets addressed is still up in the air, but it’s not likely to go away.