Fernando Tatis Jr. will not receive a total of $ 340 million.
Of course, the taxes will enter into his new 14-year agreement with Padres. But Tatis also has to pay a previous obligation, a transaction he completed outside of the 2017-18 season, when he turned 19 and was preparing for his first full season at Double A.
Tatis then signed a contract with Big League Advance (BLA), a company that offers selected advance payments for minor leagues in exchange for a percentage of future Major League Baseball winnings. Neither Tatis nor BLA have revealed the exact percentage they owe to the company.
The company’s president and CEO, former major league pitcher Michael Schwimer, told The Athletic in April 2018 that BLA uses its own algorithm to appreciate every minor player. Players who receive offers can accept a basic payment in exchange for 1% of their winnings, with the chance to receive higher incremental payments and repay a …