Stephen A. Smith is no stranger to the bright lights of California—he's practically a fixture on NBA Countdown from the West Coast. But the ESPN megastar just dropped a bombshell that has nothing to do with basketball: he had to get out of the Golden State, and it's all about the money.
During a recent appearance on the PBD Podcast, Smith revealed that his estate planning team gave him some shocking advice: leave California on weekends or face a brutal tax hit. The culprit? The state's infamous "jock tax," which targets athletes and entertainers who earn big bucks while working or performing in California.
Smith explained that his advisors told him the IRS literally tracks his phone. "They said, 'Look, when the weekend arrives, it would be in your best interest to go to Vegas or to Utah or something,'" he recalled. "I said, 'Why?' And they said, 'Well, if you stay in California, you know, IRS, they ping your phone. So, anytime you get a call or you're on the phone, they know that you're in the state. And that counts as a tax day.'"
The revelation left Smith stunned. "I said, 'You got to be kidding me.' And sure enough, when I saw my tax returns, it was absolutely correct," he added.
Smith's situation highlights a growing trend among high earners who are increasingly factoring state taxes into their living and working arrangements. The ESPN star, who reportedly pulls in more than $20 million annually, is one of the highest-paid figures at the network, making his tax bill no small matter.
But Smith isn't the only one making moves for financial reasons. The sports world has seen its share of tax-driven decisions, from athletes choosing teams in tax-friendly states to broadcasters adjusting their schedules. It's a reminder that behind the glitz and glamour, the business of sports is often about the bottom line.
Smith's candid confession also sheds light on the often-overlooked behind-the-scenes dynamics at ESPN, where personalities navigate not just on-air rivalries but also complex financial landscapes. The fallout from his comments could spark further discussion about how much of a player's or personality's life is dictated by tax codes.
For now, Smith's advice to anyone considering a career in California is clear: check your phone's ping history. As he put it, the state's tax collectors are always watching—or at least, they're tracking your location.
While Smith's situation is unique, it echoes broader concerns about financial mismanagement in sports and the lengths some go to protect their earnings. Whether it's a Hall of Famer facing legal battles or a top analyst fleeing the Golden State, money remains a constant theme in the world of sports.
