The Dallas Stars have traded forward Mason Marchment, sending him to the Seattle Kraken on Thursday in a deal that landed them a third-round pick in the 2026 NHL Draft and a fourth-round pick in the 2025 NHL Draft.
Marchment has one season left on his current contract with a $4.5 million cap hit. With Seattle absorbing the contract, Dallas general manager Jim Nill now has more cap space for some additional offseason work.
Since Marchment was traded to the Kraken, who play in the state of Washington, more debate has arisen about the tax advantages that some teams enjoy over others.
A Recent Trade Sparks Debate On Teams With No State Income Taxes
Debate continues to arise in the wake of the Tampa Bay Lightning and the Florida Panthers dominating the hockey landscape in the last several years. Many are wondering if Florida’s lack of state income tax is an advantage when it comes to roster building. Those teams have dominated in recent years, and top players might be willing to take a smaller contract knowing that they will pocket more of the money via tax savings.
Texas and Washington, states involved in the Marchment trade, also lack a state income tax. So do Nevada and Tennessee, the homes of the Vegas Golden Knights and the Nashville Predators.
An important note about the Marchment/Seattle deal – GM Jim Nill sent Marchment to another 'no state tax' team. You don't want the rep of sending a player somewhere they don't want to go after they take less to play for you.
— Jeff Marek (@JeffMarek) June 20, 2025
While this argument has gained traction during the Panthers’ dynastic run, many counterarguments have been made. Mainly, the Panthers and Lightning were awful and irrelevant for many years before they took off. If the state tax was so advantageous, why weren’t they signing elite players on cap-friendly deals?
Additionally, why have clubs like the New York Rangers, Boston Bruins, Los Angeles Kings, and Toronto Maple Leafs experienced such success over the past 10-15 years?
Players signed to teams in states with state income tax could pay millions of dollars in taxes. Even if they signed larger contracts with these teams, they very well could be pocketing less than they would have if they signed smaller deals with a team in a state without an income tax.
“That’s part of the reality,” San Jose Sharks general manager Mike Grier said of the situation. “I think it is an advantage for those teams: They can obviously pay guys a little bit less, and guys are happy to go there. So not to their fault or anything, those teams take advantage of the situation as they should.”
Jake Guentzel, who signed an eight-year contract with the Tampa Bay Lightning, acknowledged that there is an advantage to areas with no income tax but also touted the advantages of the weather and the kind of lifestyle a warmer climate can offer.
“I guess that’s always a good thing if you can make more money,” Guentzel said. “There’s just the positives about Tampa, and there just seems to be so many of them: living the lifestyle, the atmosphere in the rink is unbelievable and if that’s part of it, too, that’s great. There’s just a lot of things behind the scenes that you’re really excited for.”
Many fans are hoping that the NHL can address this disparity in the next CBA.
