Donald Sterling to pay $662M in taxes on Los Angeles Clippers sale
By Josh Hill
The sale of the Los Angeles Clippers is going to be finalized in the coming days and that’s something that fans have been waiting to hear for some time now. With the Sterling’s being pushed out, Steve Ballmer will become the NBA’s newest owner but it’s coming at a step price.
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Ballmer won’t be the only one paying for the Clippers sale though, as while the Sterling’s are getting a record $2 billion for selling the team, they will have to pay taxes that makes their net gain a little less impressive. According to ESPN.com, citing accountant Robert Raiola, sports and entertainment senior group manager at O’Connor Davies LLP in New Jersey, the Sterling’s will have to pay roughly $662 million in capital gains taxes on the sale.
This means that the net gain they will be receiving is closer to $1 billion than the sale price.
Still, the Sterling’s won’t be losing any sleep or crying any years over having to pay $662 million on a $2 billion sale, as they are coming away way ahead of where they were when the team was purchased. Donald Sterling bought the team for $12.5 million in 1981 and has sold it for a lot more than that today. Even throwing out inflation, the Sterling’s are making a killing on the sale of the Clippers and the $662 million is a small price to pay for the money they’re about to rake in from Ballmer.