The following is cross-posted from Noah Pransky’s Shadow of the Stadium blog:
Derek Jeter took a big bite out of his tax bills, apparently, filing for a homestead exemption on his $13 million home on Tampa’s Davis Islands, according to the Tampa Tribune.
The New York Daily News reported in October that Jeter had sold his penthouse apartment in Manhattan’s Trump World Tower for $15.5 million with plans to make Tampa his permanent residence….
At a total of 32,700 square feet, it is the largest single-family home in Hillsborough County and is worth nearly twice as much as the county’s second-most valuable home.Because Jeter finished his home in 2011, he paid $68,673.69 in taxes that year – the value of the unfinished property. When the house entered the tax rolls Jan. 1, 2012, Jeter’s tax bill jumped to $265,554.77.
The homestead exemption should lower Jeter’s contributions to Hillsborough County by about $1,000, but more importantly, it will prevent his home’x taxable value from climbing by more than the inflation rate, regardless of the housing market.
It will also allow Jeter to avoid paying state income taxes as he had been in New York. Not a bad savings for a guy making $17 million a year.
