More On The Miami Dolphins' Owner Swimming For Better Capital Gains Waters

We mentioned recently that an owner of the Miami Dolphins NFL team is considering selling his share in the team as he worries about the tax implications of possible higher capital gains tax rates under consideration by Sen. Barack Obama. This morning the Wall Street Journal editorial page adds:

Mr. Obama is in fact proposing to raise the capital gains tax to 20% from 15% -- which would be an increase of 33%, but Mr. Huizenga is close enough for IRS work. His office confirmed to us that he stands by that statement, though he prefers not to elaborate on it. Mr. Huizenga also has NFL company. In July, we wrote about the Rooney family's musings about selling part of the Pittsburgh Steelers to avoid the 45% death tax rate.

We saw a similar tax effect in 1992 when Bill Clinton raised tax rates. The Wall Street crowd accelerated income, bonuses and stock sales to pay the 31% rate, not the expected higher rate. One of those who cashed out in 1992 was Robert Rubin, who would soon join the Clinton Administration.