Report: For Exchanging Derek Jeter’s 3,000 Ball, 14K Tax Bill Awaits Yankees Fan Christian Lopez

July 12, 2011 12:38 PM

Yankees fan Christian Lopez poses with Derek Jeter after catching a home run, the was 3000th hit of Jeter’s career at Yankee Stadium on July 9, 2011. (credit: Nick Laham/Getty Images)

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NEW YORK (WFAN / WCBS 880) – The debate raged all weekend long and spilled over into Monday: if you were Christian Lopez, would you have given back Derek Jeter’s 3,000th hit ball?

WCBS 880′s Paul Murnane On The Story

The results were mixed, though now it seems Lopez will have to pay a hefty tax on the bounty he received from the Yankees in exchange for the prized piece of memorabilia.

According to the New York Daily News, Lopez, who admitted he owes more than $100,000 in student loan debt, may have to pony up between $5,000 and $13,000 to the IRS.

The New York Times calculated the superfan’s tax bill — for the Jeter autographed bats, balls and jerseys, four front-row seats on Sunday and four Champions Suite tickets for the remainder of the season — at around $14,000.

“Worse comes to worse, I’ll have to pay the taxes,” Lopez told the New York Daily News. “I’m not going to return the seats. I have a lot of family and friends who will help me out if need be.”

Lopez gave up his chance at selling the ball, valued by Steiner Sports at $250,000 on the open market. Now the 23-year-old Verizon employee wouldn’t mind a little help — maybe from the Yankees?

“The IRS has a job to do, so I’m not going to hold it against them,” he told the Daily News, “but it would be cool if they helped me out a little on this.”

If the Bombers turn a blind eye, Lopez will surely be dreading tax day.

As University of Cincinnati tax professor Paul Caron told the Times, “Pretty clearly he’s going to have to report as income the value of all the stuff he got for the ball.”

Should the Yankees give Lopez a hand with his tax bill? Sound off in the comments below…

Scott

I think everyone here is misinformed. The ball was given to Jeter, on behalf of the Turn-2 Foundation which, is a 15c Non-profit Organization. Where that ball’s domicile is, is irrelevant. Therefore, the gift is tax exempt. No taxes due on anyone’s part. As far as the gift’s given by Jeter to the fan, this is a non-issue and a clever accountant will legally make this painless to the young man. In the end, the kid did the right thing in accordance to his values and morals. What a great great kid. I have nothing but respect for him.
Lieutenantdan

Jeter has always appeared to be a gentleman, at least this is what appears in the press and on the Yankee Channel. I cannot help to wonder why Jeter himself did not fork over some money to the young man who had caught the ball.
If it were me I would have given this young man a check for $250,000,00.
Jeter appears to be the luckiest person not only in baseball but in life as well and is worth millions of dollars. Coughing up a couple of hundred of thousand to this young man who is not as fortunate as Jeter and the Yankees are would have been the right thing to do. I doubt that Jeter would miss the money and I doubt that the Yankees would either. They could have turned this into the world most positive publicity stunt ever but apparently they are too greedy.
Catching the ball was this kids winning lottery ticket, a once in many a lifetimes
deal. To think that Jeter and the Yankees took advantage of him disgusts me.
Shame on you Jeter and shame on the Yankees and the Yankee management.
Makes me want to throw up and almost become a Boston fan.
Again, shame on you Jeter and shame on the Yankees and the Yankee management!
A FAN

Why don’t all you bleeding heart Yankee Fans who think he did the right thing chip in and help him out with his tax bill since you think Jeter owes him nothing.
eddie

kid has a big heart, but very naive, that ball would be worth millions as the years go bye, the kid hit lotto and didnt realize it and gave it all away for some memorabilia , that wouldn’t come close to what that ball would be worth

if the kid has any intelligence, he should consider a lawyer step in to see if the Yankees pulled a fast one on him, which i truly feel they did, after all that organization makes billions, and fir what they gave him for that ball is pennies, for the true value that ball represents, i say lawsuit.
Marv Throneberry

Hey, whotabout the Gift Tax Lopez now owes the IRS, NYS, and NYC on the $250,000+ gift to Jeter? Giving away over $13,000 to any one person in a single year incurs a gift tax liability on the giver, not the receiver of the gift. Grin and pay up, Lopez… and better consult a tax lawyer.
Big Stan

If Derek or the Yankees help Christian out with his tax bill, wouldn’t he have to report that as well. It would be about a $14.000 gift Personally, I think the Tax Man should give the kid a break. It’s the Christian thing to do. As the old adage goes, Good guys finish last.
DCOnEdge

should have just sold the darn ball. For all the fools who said this guy (in over $100,000 debt and working as a cell phone salesman) was doing something “honorable” by giving a half million dollar gift to a multimillionaire, there is no further argument to support your idiocy.
mds

Jeter owes Mr. Lopez nothing. It is well known to sports fans that taxes are due when something like this happens. Let Lopez sell some hats, seats, etc. and pony up. Prizes are taxable … period! Besides, there are legal ways of reducing the tax bite. But leave Jeter alone; this is not his problem.
Jack

Dumb, dumb, dumb. The kid didn’t want to look bad and he’s paying the price. If he sold the ball, he could have paid the taxes, bought some seats and pay down his school loan. Jeter had no problem in being creative on his taxes when he tried to tell NY state he was a Florida resident. I’m sure he can respect someone who is just as creative with their own finances. As long as Jeter gets the ball, all ends well.
Debbie

All the fans are true believers of Jeter, now that this young man thought more of him than his own pocket. Let’s see just how “wonderful” Mr. Jeter really is, this guy is a real stand-up guy and felt the warmest to return the historical ball to Jeter and now look.
He owes back money on “School loans”..not Child Support, let’s hope Jeter will do the right thing.
Jim

Come guys think like the IRS. If Jeter pays the taxes, that is income to Lopez and he’s back with the same problem. It may be less but he still has to pay for doing the right thing. It may not be fair but that’s how the IRS works and I don’t think anyone has ever accused the IRS of giving someone a break.
dj4k

Im not a tax attorney but if you sell something supposedly worth 250,000 for say 30,000 I might look for a 220,000 dollar loss. The bats, balls and jerseys should only be valued at cost and not including value of autographs because its worthless unless you sell them and then you owe taxes on difference. Once in a while the Times should mind there own business.

Avi

It may be worth 250K but your basis is what it cost you, i.e., zero. So you would have a 30K taxable gain.

Austin

By that logic, if the Yankees organization gave him their own tickets and memorabilia, then in theory, it cost them nothing. While the bats, jerseys, and tickets may be priced at around 30K, at least the tickets were obtained by the Yankees for $0.

AngryPete

You can thank the New York Times for “trying to figure out” what he would owe and making this an issue. The IRS wouldn’t know this kid existed come April 2012.
Mitch w

JETER SHOULD STEP UP AND PAY ALL BILLS OWED TO THIS PERSON WHO LOOKED UP TO HIM , WHICH MADE HIM GIVE JETER THE BALL
Cyn

What an idiot. He clearly did not have a smart woman guiding him, When he is 50 and still paying off school he will regret that he did not keep the ball.
brooklyn4ever

Come on Princess Derek, help the kid out. Although I would have kept it, guess the kid had a conscience and in his eyes, did the right thing. He looks like a good guy to boot!
NJ Observer

I hope Jeter or the Yankees help him out wiht the tax bill and possibly part of his student loans…..it would be an act of kindness in return for his goodwill…..
Iambaseball

This kid is sweet – not like the crazy sports memoriabilia guys who were confronted by OJ Simpson. The Yankees should gve him a grant to help pay his student loans; then that tax bill won’t hurt as much!
Ilovebaseball

What would have been the taxes on $250K if he sold the ball? A lot more. It’s so sad – those front row seats were possibly less money than the taxes.
lovethejeets

I think they should help him out. He gave the ball back to Jeter in good faith even though he could have made alot of money that would have made him debt free. The NYY organization should, IN GOOD FAITH, return that kindness and unselfishness.
gerry williams

What’s Jeter make in a week again?

Mark

$288,461.54 per week, or $28.54 every minute of 2011.
$347,863.25 per week, or $34.42 every minute since 2003, on average.

I think Jeter could cut the guy a check for $50k and call it a day. He’ll be covered if the $50k is considered income and worst case scenario, he’ll have $20k-ish, give or take, left over for himself at the end of the day to go along with those sweet suite seats and his other memorabilia.

A. Bruno

Nobody thinks of this stuff while in the moment and that includes Jeter and the Yankees organization. It will be handled and it is a non-story. There will be nothing for Christian to regret and it will be on account of the Yankees doing what needs to be done. Living a dream, it must feel great!

Joan Antuofermo

best comment on here!

no name

Come on Jeter, help this fan out he sure thought of you when he returned that ball. Let’s be fair.

FJ Gruder

But if he sold the ball, the tax man would still come. Yes, he would have cash from the sale, presumably but he could raise cash by selling the collectibles for example.
CGM

How about Jeter giving back the ball, the Yankees taking back the seats and letting the kid sell the ball?

K

Basically Christian didn’t even think of the tax before and not he doesn’t want to look like a fool wishing he just sold it instead, no body just accepts having to pay up to $13,000 in taxes
Cashykingmitch

That bill is a night out for Derek……………………….