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MLB pitcher chooses Diamondbacks instead of Padres because of California’s tax rates

MLB pitcher chooses Diamondbacks instead of Padres because of California's tax rates

Merrill Kelly Returns to Diamondbacks for 2026 Season

Merrill Kelly will don the Arizona Diamondbacks uniform once more when the 2026 season kicks off. After a stint with the Texas Rangers last year, where he appeared in ten games, he has decided to rejoin the Diamondbacks.

Initially, Kelly spent seven years with Arizona before the offseason brought an offer from the San Diego Padres. However, he turned it down, citing the high income tax in California—it’s significantly steeper than Arizona’s tax rate—as a major factor in his decision.

As reported by ESPN, Kelly has inked a two-year deal with the Diamondbacks valued at around $40 million. Although the Padres offered a three-year contract, Kelly was deterred by California’s 13% tax on income exceeding $1 million.

“It’s no secret that taxes can take a big bite out of your paycheck if you move to California,” Kelly remarked, as he reflected on his choice. He also shared his deep connections to Arizona, mentioning his high school and college baseball days at Arizona State University. Returning to Arizona has always been something he prioritized.

Despite his affection for San Diego, he just couldn’t reconcile the tax implications with his finances. “I really like San Diego, but honestly, they take too much from me. The taxes there are on a different level,” he said. He even had someone calculate the difference, which solidified his choice to go back home.

With Arizona’s income tax hovering around 2.5%, he made a light-hearted joke about preferring desert life over the coastal vibes of San Diego. “Actually, that was our second choice. If we weren’t coming back to Arizona, we probably would have chosen San Diego,” he mused. “But yes, the desert feels like home. I guess you could say we aren’t really beach people.”

Meanwhile, the Padres have opted not to comment on the specifics of their contract negotiations.

Last season, after being traded to the Rangers in July 2025, Kelly wrapped up the year with a 12-9 record, splitting his time between Texas and Arizona.

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