$92,454,198 Paid in Luxury Tax
Posted: Wed Jul 9, 2008 10:03 pm
I know this probably isn't as bad as it has been in past years or will be in future years...
...but Good God that is a lot of money.
I know, I know. The bolded word doesn't mean too much to some of you, but sometimes I can forget as well.
...but Good God that is a lot of money.
The Knicks were the leaders among eight teams that were notified Wednesday morning that they will have to pay luxury tax, according to ESPN.com.
Teams with a payroll above $67.865 million last season are required to pay one tax dollar for every dollar they sit over the threshold. That means the Knicks will have to pay roughly $20 million in tax.
The seven other teams that will be required to pay the tax penalty are the Mavericks, Cavaliers, Nuggets, Heat, Celtics, Lakers and Suns.
Teams must make their payments in full by July 23.
Each of the teams that don't owe any tax will each receive 1/30th of the $92,454,198 total tax pot. That computes to $3,081,807 per franchise.
I know, I know. The bolded word doesn't mean too much to some of you, but sometimes I can forget as well.