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MLB pitcher Merrill Kelly rejected a $40M Padres deal over California’s high taxes, choosing Arizona for its lower rates.
MLB pitcher Merrill Kelly reportedly declined a $40 million, two-year deal with the San Diego Padres, citing California’s high state taxes as a key reason.
The state’s 13.3% top income tax rate on earnings above $1 million, along with its "jock tax" on games played there, influenced his decision to return to Arizona, where the flat 2.5% rate is more favorable.
His choice reflects a broader trend of high-income individuals and businesses relocating from California amid concerns over taxation and cost of living, with estimates suggesting significant capital outflows in recent years.
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El lanzador de MLB Merrill Kelly rechazó un acuerdo de 40 millones de dólares con los Padres por los altos impuestos de California, eligiendo Arizona por sus tasas más bajas.