Cleveland’s “Jock Tax” Headed to Mediation
Thursday, March, 13, 2014
The Ohio Supreme Court has referred a pair of lawsuits seeking to have a unique tax system declared unconstitutional to mediation. At issue is the system of taxation Cleveland employs that imposes higher tax rates for visiting professional sports athletes than on other types of out-of-town workers. The lawsuits were filed by two former NFL players: Indianapolis Colts center Jeff Saturday and Chicago Bears linebacker Hunter Hillenmeyer.
The Ohio Supreme Court accepted the case after both the Board of Income Tax Review and the Ohio Board of Tax Appeals ruled in favor of the city. Further clouding the issue is the fact that Hillenmeyer claims that some of the games he was taxed for saw him remain in Cleveland the entire weekend with injuries, changing his status as an out-of-town worker.
If the Supreme Court mediation process cannot find a settlement acceptable to both sides, the case will automatically go onto the court’s docket for a hearing. It is expected that Cleveland will wish to avoid this, as it might set a precedent in law that could force it to change its entire tax structure. Neither plaintiff have commented on whether they wish simply to have a personal settlement, or if they are trying to effect overall change.