Earlier quoted context omitted.
Unfortunately it doesn't work like that. First, state income tax is exactly that, income tax imposed by the state, and governed by the state. There may be local jurisdictions that impose additional income tax but any savings there would be trivial. While sports are important to the local economy, my understanding is that they are relatively minor at the state level. Second, LeBron (and other athletes) earn playing in…
LeBron (and other athletes) earn playing income in every jurisdiction they play in, not based solely on the jurisdiction that the team is based in. ... This means they are responsible for filing taxes in each of these jurisdiction. Do you have a citation for this? I'm skeptical. I live and work in Texas. When I travel to my company's office in NJ, effectively earning income for a week in that state, I don't pay NJ in…
Edit to add: According to my interpretation of this: https://www.state.nj.us/treasury/taxation/pdf/current/1040nr...
Assuming your income is over $20,000, you ARE required to file a NJ state tax return.
Also, note that even if you don't file a tax return, doesn't mean you are exempted from doing so.
Example, as a citizen of Texas, you are also required to pay use tax on any items aquired out of state/country and used in the state. My assumption is that you don't also pay that either, even thought you are legally required to do so. It turns out that use Tax is particularly difficult to audit and collect for, especially without a mandatory return like state income tax.