Shohei Ohtani contract: California controller calls for congressional intervention on Dodger star’s deferrals

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SACRAMENTO, Calif. (KABC) — Shohei Ohtani‘s contract with the Dodgers could possibly give him an unfair tax break, according to the California state controller.

In a statement released Monday, Controller Malia Cohen said Congress should narrow a loophole that could spare Ohtani from paying tens of millions in taxes.

“The current tax system allows for unlimited deferrals for those fortunate enough to be in the highest tax brackets, creating a significant imbalance in the tax structure,” Cohen said. “The absence of reasonable caps on deferral for the wealthiest individuals exacerbates income inequality and hinders the fair distribution of taxes. I would urge Congress to take immediate and decisive action to rectify this imbalance.

“Introducing limits on deductions and exemptions for high-income earners promotes social responsibility and contributes to a tax system that is just and beneficial for all. This action would not only create a more equitable tax system, but also generate additional revenue that can be directed towards addressing pressing important social issues and fostering economic stability.”

Pitcher Joe Kelly’s wife Ashley posted video of a brand new Porsche showing up in front of her home, apparently a gift from Shohei Ohtani.

The Dodgers signed Ohtani to a 10-year, $700-million-dollar deal, with Ohtani deferring $680 million until after the contract expires in 2033.

If Ohtani moves before that time, it could cost the state an estimated $98 million dollars in tax revenue.

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