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Merrill Kelly rejected Padres’ profitable contract supply as a consequence of California’s ridiculous tax legal guidelines

February 27, 2026
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As soon as California tax legal guidelines entered the equation, two was higher than three for Merrill Kelly.

The maths was performed by the veteran pitcher in some unspecified time in the future this offseason, when he was a free agent deciding between two choices for his MLB future.

No. 1 was a two-year, $40 million contract with the Diamondbacks No. 2, no less than on paper, appeared higher.

When it got here right down to the Padres and Diamondbacks for Merrill Kelly this offseason, he stated he selected Arizona as a consequence of California’s tax legal guidelines. Getty Pictures

It was a three-year, totally assured cope with the Padres that appeared to have an analogous common annual worth.

Kelly, although, selected the previous — and through a sitdown interview with Foul Territory’s Scott Braun and A.J. Pierzynski this week, he defined the choice was virtually completely as a result of Golden State’s tax system.

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“I don’t assume it’s any secret on how a lot cash you get taken out of your pocket if you go to California,” the 37-year-old right-hander stated.

There have been, in fact, different elements that pulled Kelly towards Arizona. He went to highschool at Desert Mountain in Scottsdale and performed collegiately at Arizona State.

Merrill Kelly reveals he had a three-year supply from the Padres on the desk.

“It undoubtedly made the choice to return again right here quite a bit more durable.” pic.twitter.com/Da7oGkO7dv

— Foul Territory (@FoulTerritoryTV) February 26, 2026

And, the daddy of two younger children has referred to as the Phoenix space dwelling whereas logging innings for the Snakes in every of the previous seven seasons.

“Coming again right here,” he admitted, “it was at all times the precedence.”

However after Pierzynski jokingly informed him he was “the primary individual ever that’s been supplied a bunch of cash to go dwell in San Diego and stated no,” Kelly made it crystal clear that giving freely a good portion of his revenue to a state authorities was finally a dealbreaker for him.

“I like San Diego,” Kelly stated. “It’s simply, like I stated, they take an excessive amount of cash out of my pocket, man. The taxes over there are a unique degree.

“We had my numbers man run the numbers, and it simply made extra sense to return dwelling.”

Merrill Kelly has logged innings for the Diamondbacks in every of the final seven seasons. Allan Henry-Imagn Pictures
Diamondbacks pitcher Merrill Kelly throwing a pitch throughout a sport at Yankee Stadium. Invoice Kostroun/New York Submit

If he had opted for the Padres’ supply, Kelly was doubtless staring down a state revenue tax within the ballpark of 13 p.c. A much more palatable 2.5 p.c state revenue tax charge was a part of his Diamondbacks deal.

“It labored out greatest for us as a result of that was actually our second selection,” Kelly stated. “It was between right here and San Diego going into the offseason. San Diego was actually the one place that, if we did go someplace, that was most likely excessive on our record if we weren’t in Arizona. It’s like, ‘All proper, let’s simply jump over and take a brief, six-hour drive to San Diego.’

“However, yeah, the desert is dwelling. I suppose we’re not ocean folks.”

The Padres — who informed The California Submit on Friday, when requested for an announcement on Kelly’s remarks that they “don’t touch upon contract negotiations” — might have actually used the pitcher’s arm on their roster this season.

In 184 innings final yr (break up between the Diamondbacks and Rangers following a commerce on the MLB’s summer time deadline), he boasted a 12-9 report with a 3.52 ERA and 167 strikeouts.

Baseball Reference initiatives him to personal a 10-7 report with a. 3.79 ERA and 145 strikeouts in 2026, although Kelly did affirm this week the beginning of his season shall be delayed as a consequence of a again harm.

The Padres will now head into ’26 with a beginning rotation anchored by Michael King, Joe Musgrove and Nick Pivetta — and an enormous marvel of what if California’s tax legal guidelines had been just a bit much less strenuous.

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