Donald Sterling

Lawmakers want to prevent Donald Sterling from deducting NBA’s $2.5 million fine from his taxes

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The NBA calls its financial penalties “fines,” but they’re really forced charitable donations. They’re also, as Lamar Odom successfully argued to the IRS, business expenses.

You can bet Donald Sterling will try to write off his $2.5 million fine on his taxes.

On both the federal and state levels, lawmakers want to prevent that.

Kay Bell of Don’t Mess With Taxes:

Any deduction is just not right, say six House Democrats. So they’ve introduced the Stop Penalizing Taxpayers for Sports Owner Fouls Act of 2014.

The bill, which would apply to fines since Jan. 1, says:

In the case of an individual who owns (directly or indirectly) a professional sports franchise, no deduction shall be allowed under sub- section (a) for any fine or similar penalty paid to the professional sports league or association of which the franchise is a member.’’.

This would apply to Sterling – and was obviously proposed with him in mind.

As unsympathetic as Sterling is, I just don’t believe this law would be constitutional. If passed – which I suspect is unlikely to happen anyway – the courts could deem it ex post facto. In other words, the law punishes for acts committed before the law passed, usually a method not allowed in the United States.

Plus, I don’t like further complicating an already far-too-complicated tax code with a specific rule that singles out sports owners. Why should sports owners have their own tax code? What makes them different than the rest of us? (Yes, I’m against stadium subsidies, too. Don’t fix that problem by creating another.)

California lawmakers are proposing something similar. Phil Willon of the Los Angeles Times:

Two state Assembly members from Los Angeles filed legislation Tuesday that would prevent sports team owners from writing off league fines as a business expense when they file their state income tax returns.

The bill was filed by Democratic Assemblymen Raul Bocanegra of Pacoima and Reggie Jones-Sawyer of Los Angeles.

“Donald Sterling’s outrageous comments and historic fine should not be rewarded with a multimillion-dollar tax refund,” said Bocanegra, who chairs the Revenue and Taxation Committee. “This fine is intended as a punishment; it should not be used as a tax loophole.

The specifics of this bill are not clear, but I have the same concerns stated above.

At least one politician, though, might be on the right track – actually using the Sterling situation to do good. Willon:

Meanwhile, Rep. Brad Sherman (D-Sherman Oaks) has asked city, state and federal regulators to “prioritize” inquiries into any allegations that Sterling’s companies engaged in racial discrimination against people who sought to rent apartments at the billionaire’s residential properties.

In a letter to the regulators, Sherman cited a payment of more than $2.7 million that Sterling made in 2009 to settle federal claims that he discriminated against tenants. Sherman’s letter did not say there were allegations pending against Sterling or his companies.

If there aren’t new allegations against Sterling, it would be difficult to do much now after he’s settled, but yeah, the government should definitely be further investigating Sterling’s alleged housing discrimination. While they’re at it, apply that level of scrutiny to everyone – not just the headline-inducing Sterling – suspected of housing discrimination. That actually matters.

NBA: Kenneth Faried got away with foul on decisive basket in Nuggets’ win over Bulls

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The Bulls’ biggest loss Friday was Jimmy Butler to injury. His absence certainly contributed to a loss to the Timberwolves the following night.

But Chicago also lost to the Nuggets on Friday, and perhaps that wouldn’t have happened if the game were called correctly down the stretch.

With Denver up two points and 21.1 seconds remaining, Kenneth Faried offensively rebounded a free throw and scored. The Bulls then intentionally fouled down the stretch, and Faried and Danilo Gallinari added a few free throws in the Nuggets’ 115-110 win.

One problem: Faried should’ve been called for offensively fouling Taj Gibson on the key putback, according to the NBA’s Last Two Minute Report:

Faried (DEN) extends his arm into Gibson (CHI) and dislodges him, affecting his ability to retrieve the rebound.

This was a huge swing. Instead of Taj Gibson – a 69% career free-throw shooter – going to the line for two attempts with Chicago down two points, Faried put the Nuggets up four. Even if Gibson split at the line, the Bulls would have been in significantly better shape.

As usual, we can’t know what would’ve happened if this call were made correctly. But it significantly set back Chicago.

NBA considering if jump-on-back foul should be flagrant foul

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The video above is an intentional foul — Chris Paul jumped on the back of Dwight Howard. The same thing has happened to Andre Drummond.

Is it a flagrant foul?

The Boston Celtics tweeted this out on Sunday.

The NBA was quick to let people know that this is just something under consideration — there has been no change in the rules. This may well be where the league is headed, but it’s not there yet.

The NBA defines a flagrant foul as “unnecessary contact committed by a player against an opponent.” To me, leaping on a player’s back like that qualifies. (A flagrant two foul is “unnecessary and excessive contact” and leads to an ejection; this is not that.)

Jared Dudley — one of the more vocal players on union issues — added a good point.

Consider this part of the coming changes on the intentional fouling rules period. But this one tweak could come much faster.

NBA: Foul on Cavaliers that sparked Celtics’ comeback called in error

Cleveland Cavaliers' J.R. Smith makes a move on Boston Celtics' Evan Turner (11) during the third quarter of a NBA basketball game in Boston Tuesday, Dec. 15, 2015. (AP Photo/Winslow Townson)
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The Cavaliers were in great shape against the Celtics on Friday, leading by four points with seven seconds left.

Then, it all went so wrong for Cleveland.

J.R. Smith was called for fouling Evan Turner on a made layup, cutting the margin to two points. Turner missed the free throw, but the ball went out of bounds off the Cavs. Then, Avery Bradley made a buzzer-beating 3-pointer to give Boston the win.

Rewind, though, and an incorrect call drove the sequence, according to the NBA.

Smith shouldn’t have been called for fouling Turner, per the Last Two Minute Report:

Smith (CLE) makes incidental contact with Turner’s (BOS) body as he attempts the layup.

If this were officiated correctly, the Cavs would’ve had the ball and a two-point lead with 5.9 seconds left. That’s not a lock to win – they’d still have to inbound the ball and make their free throws – but it’s close.

Cleveland is definitely entitled to feel the refs wronged them out of a victory.

Report: Kevin Durant has “done his due diligence on the Bay Area”

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Kevin Durant has not made up his mind about what he will do as a free agent this summer. Until his playoff run ends, whenever that may be for the Thunder, his focus will be on bringing a title to Oklahoma City.

But even he admits he can’t help but think about free agency a little.

The buzz around the league is Golden State is at the front of the line if Durant decides to leave OKC, and he has done some research, reports Marc Spears of Yahoo Sports.

The Warriors play in front of an intimidating Oracle Arena crowd and are expected to debut a new San Francisco arena in 2019. Durant has quietly done his due diligence on the Bay Area, too, sources told Yahoo Sports.

His people — specifically agent Rich Kleiman and personal manager Charlie Bell — would be stupid not to have done some research on not only Golden State but on every other team he might consider: Houston, Miami, Washington, both teams in Los Angeles, the Knicks, and on down the line. Golden State, playing with Stephen Curry, certainly would have its attractions.

I’m still in the camp that Durant signs a 1+1 deal to stay in Oklahoma City (meaning he can opt out after one more season, in 2017), and it’s all about the cash. While he could get 30 percent of a $90 million cap this summer (about $27 million a season to start), with one more year of service in 2017 Durant could get 35 percent of $108 million ($37.8 million to start). That’s a lot of cash. Plus he gets one more chance at a ring with Russell Westbrook and Serge Ibaka, who both are 2017 free agents.

But you can be sure whatever Durant decides, it will be well researched and thought out. And he’s not going to announce it in a live special on ESPN.