Yankees Slash Expenditure and Luxury Tax in the Process

Major League Baseball (MLB) giants the New York Yankees have lowered the luxury tax placed upon them by more than US$7m. It was announced on 21 December that the tax placed on the side stood at $18m this year, the sides lowest since 2003 and significantly less than last year’s total of $25.7m when the Yankees won the World Series.

The Yankees also lowered their expenditure on players this year by $12m, slashing the payroll by $5m in the process.

Looking ahead to his 2011 payroll, Yankees general manager Brian Cashman said: “Atta baby. And right now we’re in the $170s”.

The season-ending payroll information and tax was obtained by The Associated Press. The Boston Red Sox are the only other MLB side to have to pay the luxury tax this year, oweing $1.5m, having exceeded the payroll threshold for the first time since 2007. Cheque’s must be paid to the league’s commissioner’s office by January 31.