Aug 1, 2013, 10:16 AM EDT
The largely free market loving, Republican owners of the NBA teams pushed hard in the last Collective Bargaining Agreement for something that you would think goes against their nature — an increased and very stiff tax structure that sets up a more socialist system. (They would argue the system is needed for the growth of the overall sport.)
But the tax penalty only works if an owner is afraid to pay it.
Brooklyn Nets own Mikhail Prokhorov laughs at it. Or at least isn’t going to blink writing a very large check.
With the addition of Alan Anderson on a minimum deal, the Nets will have a payroll of $102,211,009 next season (figures via Hoopsworld). The NBA’s salary cap is set at $58.7 million for next season, the luxury tax line is $71.7 million (meaning the new escalating taxes start at that figures). Marc Stein of ESPN did the math from there for TrueHoop:
Adding Anderson on a minimum deal nudges those figures to $30,463,009 (dollars over the tax line) … and a mind-numbing $87,199,293 (in taxes due)
So the signing of a player due to make just under $1 million next season will cost Brooklyn more than $4 million in additional taxes under the league’s much more punitive tax laws that go into effect this season.
The tax the Nets will pay will be based on their salary figures on the last day of the regular season, so it is possible for the Nets to make moves to lower that number.
But it doesn’t look like Mikhail Prokhorov wants to — he wants to win at any cost. So he will write a big check at the end of the season. What kind of winning he will get for that remains to be seen, but I don’t think it’s the title he is looking for.
Jul 23, 2014, 9:16 AM EDT
Pacers center needs confidence more than a skyhook
Jul 23, 2014, 8:45 AM EDT
Russ Smith had a nice Summer League.
Jul 23, 2014, 8:00 AM EDT
Dallas, seeking third point guard, has already met with Mo Williams
Jul 23, 2014, 1:00 AM EDT
As Cavaliers position themselves for Kevin Love trade, now was the time to sign No. 33 pick
Jul 23, 2014, 12:00 AM EDT
Bzdelik, who most recently coached Wake Forest, previously served as Nuggets head coach
Jul 22, 2014, 11:20 PM EDT
Bieber wearing a Nets hat, so you know what that means…
Jul 22, 2014, 10:20 PM EDT
Donald’s lawyer says ruling might not come for years
Jul 22, 2014, 9:20 PM EDT
Devin Harris 2.0?
Jul 22, 2014, 8:20 PM EDT
Brooklyn reaches regular-season roster limit of 15 players
Jul 22, 2014, 7:22 PM EDT
Utah reportedly trades John Lucas III, Malcolm Thomas and Erik Murphy to Cleveland for Carrick Felix, second-round pick and $1 million
Jul 22, 2014, 6:53 PM EDT
Sterling will be removed as Clippers owner one way or another because he is toxic to the organization right now.
Jul 22, 2014, 6:02 PM EDT
He’s going to get some of Paul Pierce’s minutes.
Jul 22, 2014, 5:11 PM EDT
Adam Silver does the classy thing. Again.
Jul 22, 2014, 4:20 PM EDT
Evan Turner is now a reclamation project — if he wants to get paid he has to become more efficient.
Jul 22, 2014, 3:38 PM EDT
It means the Timberwolves want to send Kevin Martin out in the Love deal, Cavs trying to make that happen.
Jul 22, 2014, 2:46 PM EDT
Once signed, he can’t be traded for 30 days … to the Timberwolves, for example.
Jul 22, 2014, 2:04 PM EDT
Taj Gibson and Jimmy Butler would reportedly be sent to Minnesota.
Jul 22, 2014, 1:42 PM EDT
Blake Griffin, James Harden, Kawhi Leonard and Damian Liillard among players who would face fines if they participated in a planned exhibition in Manila.
High school standout Emmanuel Mudiay skips college for China payday. You’ll see more of this if age limit goes up.
Jul 22, 2014, 1:01 PM EDT
If the age limit jumps to 20 more players will choose getting paid over college.
Jul 22, 2014, 12:27 PM EDT
Wizards take a more subtle approach than some of the others we’ve seen.
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