Maple Leafs centre John Tavares tells court why he chose Toronto in tax battle over $77M deal

'It was a heavy decision and there was a lot of emotion behind it,' Tavares said while arguing that his bonus was an inducement to sign with the Leafs

Toronto Maple Leafs centre John Tavares testified in the Tax Court of Canada yesterday about the strong passions and intensely pressured negotiations that led to him leaving the New York Islanders for his hometown team in 2018 in a blockbuster seven year, $77-million deal.

Enjoy the latest local, national and international news.

Enjoy the latest local, national and international news.

Create an account or sign in to continue with your reading experience.

Create an account or sign in to continue with your reading experience.

“You’re trying to earn a contract you deserve for where you are in the marketplace of the game and the comparables in the league,” Tavares testified.

But under cross-examination by counsel for the Crown, he failed to completely erase the impression that his “signing bonus” of $70 million over seven years — more than 90 per cent of the contract’s value — was simply part of his employment income, not a tax-exempt “inducement” to sign the deal.

Get a dash of perspective along with the trending news of the day in a very readable format.

By signing up you consent to receive the above newsletter from Postmedia Network Inc.

A welcome email is on its way. If you don't see it, please check your junk folder.

The next issue of NP Posted will soon be in your inbox.

We encountered an issue signing you up. Please try again

Interested in more newsletters? Browse here.

That is the crucial distinction at the heart of this trial, and for Tavares it means $8 million is at stake.

Source: Read the original article on nationalpost.com