2025 ATL Thread - Burnes to have TJ surgery

[WeekapaugGroove]

Why shouldn't it be allowed? It's his money. If he wants to defer it, more power to him.

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Nothing to do with Ohtani doing anything wrong. It just shouldn't legally be allowed in the CBA. You don't see an unfair competitive advantage that the Dodgers get to have the best player in baseball playing on an IOU for the next decade?

There should be a limit on the percentage of a contract that can be deferred. It's a pretty easy fix.

Even easier fix is like MD mentioned where it doesn't matter what's deffered in real money and just make the full yearly amount taxable. This is something that doesn't matter when you don't have the tax line but sure feels like a bad loophole with one.

I have no issue with Ohtani or the Dodgers doing this, the fact it's allowed is the problem.

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[MikeIsGood]

God I hate the MLB.

[BUCKnation]

The dodgers could have a whole new set of owners by the time this kicks in. Definitely should not be allowed.

[humanrefutation]

Why shouldn't it be allowed? It's his money. If he wants to defer it, more power to him.

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Nothing to do with Ohtani doing anything wrong. It just shouldn't legally be allowed in the CBA. You don't see an unfair competitive advantage that the Dodgers get to have the best player in baseball playing on an IOU for the next decade?

There should be a limit on the percentage of a contract that can be deferred. It's a pretty easy fix.

It definitely is a competitive advantage, but it's one that any team could exploit. In this case, the person who suffers because of the deferrals is Ohtani, as the value of his contract is mitigated in some ways by inflation over the lifetime of its payment schedule. That is, $700M today is worth more than it will be by the time he actually gets his deferred compensation. (Edit: See next post - he could also probably benefit from some tax relief if he earns most of his contract after he moves out of Cali).

That Ohtani is willing to do that for the sake of affording the Dodgers greater payroll flexibility as they add to their team is a testament to his desire to win. However, I strongly suspect that Ohtani is quite unique in that aspect, as I don't think most players would agree to defer that much of their salary down the road.

I could see a middle ground where the league actually credits the AAV of the contract for tax purposes.

[humanrefutation]

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[trwi7]

Why shouldn't it be allowed? It's his money. If he wants to defer it, more power to him.

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Nothing to do with Ohtani doing anything wrong. It just shouldn't legally be allowed in the CBA. You don't see an unfair competitive advantage that the Dodgers get to have the best player in baseball playing on an IOU for the next decade?

There should be a limit on the percentage of a contract that can be deferred. It's a pretty easy fix.

It definitely is a competitive advantage, but it's one that any team could exploit. In this case, the person who suffers because of the deferrals is Ohtani, as the value of his contract is mitigated in some ways by inflation over the lifetime of its payment schedule. That is, $700M today is worth more than it will be by the time he actually gets his deferred compensation. (Edit: See next post - he could also probably benefit from some tax relief if he earns most of his contract after he moves out of Cali).

That Ohtani is willing to do that for the sake of affording the Dodgers greater payroll flexibility as they add to their team is a testament to his desire to win. However, I strongly suspect that Ohtani is quite unique in that aspect, as I don't think most players would agree to defer that much of their salary down the road.

I could see a middle ground where the league actually credits the AAV of the contract for tax purposes.

Ohtani could also claim residence in a no income tax state and instead of paying 12.3% in California taxes, pay nothing if he establishes a residence in say Washington.

[stillgotgame]

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Justifying devaluing $700M down to $450M(by deferring it 10 years) by saving $40M in tax money is a losing business decision. Terrible math.

[MartyConlonOnTheRun]

1. We don't know if a traditional 7/700 offer was on the table. My guess is he had several options based on deferment possibilities. If he said no I want my money sooner I got to think it would be 7/X00m?
2. How does the last year work? Like is it just $46m against the cap then or do they have like a $300m hit that year?

[drew881]

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Justifying devaluing $700M down to $450M(by deferring it 10 years) by saving $40M in tax money is a losing business decision. Terrible math.

Either way, states and their citizens who pony up pubic money for stadiums should be pissed at stuff like this. Especially in state that has a 68 billion dollar tax deficit.

[WeekapaugGroove]

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Justifying devaluing $700M down to $450M(by deferring it 10 years) by saving $40M in tax money is a losing business decision. Terrible math.

Either way, states and their citizens who pony up pubic money for stadiums should be pissed at stuff like this. Especially in state that has a 68 billion dollar tax deficit.

When sports leagues are handing out nearly billion dollar contracts I think the whole publicly funded stadiums should be a thing of the past. **** is so tacky.

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[Thunder Muscle]

Dodgers targeting Hader now, haha, what a joke.

[ReginaldDwight]

Will make it better when Dave Roberts blows it in October again.

[MickeyDavis]

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[ReasonablySober]

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[MVP2110]

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This feels like a light return for the Rays

[ReasonablySober]

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I love this.

[WeekapaugGroove]

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I love this.

I live in AZ so will definitely be catching some of these games.

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[MVP2110]

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[ReasonablySober]

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[Thunder Muscle]

God I hope Dodgers keep not winning World Series.