Does Dylan Larkin Hate Michigan's State Income Tax?

Red Wings captain Dylan Larkin is busting ass to get out of town.

Larkin, in the fourth year of an eight-year $69.6 million contract with a full no-trade clause, has reportedly asked GM Steve Yzerman to trade him this summer.

Waiving his no-trade clause for three teams, Larkin submitted a list that included the Minnesota Wild, Florida Panthers, and the Vegas Golden Knights—all three considered Stanley Cup contenders, with the Knights in the 2026 finals playing for their second cup. 

But there might be an added economic layer to the saga: Two of those three teams—the Panthers and Golden Knights—are in states with no income tax.

The state income tax may seem like a small thread within the tangled web of drama encircling the Red Wings, but it likely contributed to Larkin’s choice of teams.

States with no income tax, specifically Florida, are a destinations for current and former professional athletes. A long list of NHL players have sought to play in Florida or retire there, part of a larger trend of high earners looking to live and build businesses in states less willing to take their money.

Michigan’s 4.5% income tax has been a topic of discussion for several candidates running for governor who are workshopping arguments in favor of abolishing it. It’s also worth nothing that several Michigan cities layer an additional income tax on those either living or working within their borders, including Detroit.

Michigan’s economy hasn’t exactly thrived over the last seven years, and the state is currently in a five-year population decline. Democrat and Republican governors have tried curbing the trend over the past several decades, but Michigan is a status-quo state not exactly known for new ideas.

The result is high earners, like Dylan Larkin and others, are looking to live elsewhere.

The working-class-wage slave might dismiss this notion with a snide remark of class resentment, but this is a more pernicious problem than most realize. Rich people like to invest, build businesses, and create jobs. A lack of jobs means working-class residents will also leave for states with stronger job markets. This also means college graduates will bolt out of state, creating a brain drain.

There’s only one thing Michigan hasn’t tried yet: Abolishing the state income tax.

Enjoyer spoke with Congressman John James—currently running for governor of Michigan—about Larkin’s possible departure and the state income tax:

“It’s embarrassing how many young Michiganders are leaving the state to find success,” said Rep. James. “Even Dylan Larkin, who just won gold for America, wants out. When I am governor, we will cut the income tax, lower energy prices, bring Dylan home, hang a USA gold medal sign on the Gordie Howe Bridge, and make Michigan a winner again for our families and for more Stanley Cups!"

Former Michigan Attorney General Mike Cox has also made income tax cuts a key component of his gubernatorial campaign:

“I’m not surprised,” Cox said when asked about Larkin’s trade demand. “State income tax drives talent out. The New York Times has an article where they polled 117 NHL players, and close to 90% said playing in the state with no income tax matters when choosing a team. Michigan is playing the same losing game, that is why I’m committed the eliminating Michigan income tax so that athletes and business, and families, choose Michigan instead of leaving it. Larkin’s a great player, I would love for him to stay here in Detroit.”

To be fair, there are several other reasons Larkin wants out, but the income tax, combined with the state’s managed decline, all play into the real fact that Detroit is not a destination for top NHL free agents. 

NHL hockey is no longer the regional sport it was in decades past before expansion—and the 1988 Gretzky trade to Los Angeles—pushed the sport toward warm weather states. Michigan is a blue-collar state limping along as other states steal away our elite human capital.

We can still cut taxes, loosen regulations, and create an economic climate where both professional athletes and working families choose Michigan as their permanent destination.