NBA luxury tax to continuePosted by Inside Hoops
The Deseret News (Tim Buckley) reports: If the Jazz choose to wade into NBA luxury-tax territory — something they’ve said they’re willing to do if need be next season — they won’t be getting a bailout. League Commissioner David Stern told reporters covering the NBA Finals in Los Angeles this week that there are no plans to temporarily shelve the tax, even in light of the country’s current economic plight. “No,” Stern said when asked at his annual Finals news conference, “there’s no contemplation of eliminating or reducing luxury tax.” The tax — part of the current collective-bargaining agreement between the NBA and its players union — is levied upon teams that exceed the league’s maximum team-payroll threshold, which has not yet been determined for next season. It amounts to a fine of $1 for every dollar over the threshold, plus a ban from sharing with under-the-threshold teams in distribution of the taxes that are collected.