Ohtani’s Mega-Contract Could Dodge $98 Million in California Tax

The week in state tax news: The record-shattering $700 million contract two-way baseball superstar Shohei Ohtani signed with the Los Angeles Dodgers will be paid out almost entirely as deferred compensation after the 10-year deal ends, setting off questions about how much he’ll owe California over the long term. Meanwhile, the Financial Accounting Standards Board says public companies must disclose details about taxes they’ve paid, more states consider digital advertising taxes, and a court says California improperly issued guidance ending historical protection against state income taxation of out-of-state sellers.

Pop quiz. Major League Baseball superstar Shohei Ohtani is deferring most ...