First of all: There’s no such thing as ‘tax free.’ However, the way your income is reported and distributed may make it appear to be without tax. Here’s an example: In Canada and the United States, contracts and income are reported in gross dollars, while in Europe and Asia a player’s salary is reported in net dollars. So a contract in North America for $500,000 is not what ends up in your pocket after federal, state, social security, and Medicare taxes are deducted.

But in Europe and Asia, a contract for $500,000 is what you receive after your team has paid all taxes, pensions, and even agent fees.