Author Topic: Luxury Tax  (Read 674 times)

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Luxury Tax
« on: July 16, 2018, 03:14:48 AM »

Offline trickybilly

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Anyone have a link to easy-to-use Luxury Tax data, i.e. which teams are in repeater tax obligations, which teams project to be, and when etc...
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Re: Luxury Tax
« Reply #1 on: July 16, 2018, 10:46:19 AM »

Offline greece666

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Re: Luxury Tax
« Reply #2 on: July 16, 2018, 11:14:42 AM »

Offline Ogaju

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Can someone explain why we as fans should care about the luxury tax other than ownership's willingNess to pay.

Re: Luxury Tax
« Reply #3 on: July 16, 2018, 11:38:02 AM »

Offline BitterJim

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Can someone explain why we as fans should care about the luxury tax other than ownership's willingNess to pay.

Because "ownership is willing to pay" has its limits. It's one thing to pay salary*5 (or more) to keep Tatum and Brown, it's another to pay that for an MLE player ($5.5 million salary, could be over $30 million with tax) vs a vet min ($2.4 million salary, could be $15 million with tax)

It's nice to think that ownership will just pay no matter what, but with Brown and Tatum getting extensions and the repeater tax kicking in, you could be looking at luxury tax bills that are bigger than our payroll (even 2+ times as big). That is a **** load of money, and it's something that will give even the most gung-ho owners pause
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Re: Luxury Tax
« Reply #4 on: July 16, 2018, 12:20:37 PM »

Offline Moranis

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Can someone explain why we as fans should care about the luxury tax other than ownership's willingNess to pay.

Because "ownership is willing to pay" has its limits. It's one thing to pay salary*5 (or more) to keep Tatum and Brown, it's another to pay that for an MLE player ($5.5 million salary, could be over $30 million with tax) vs a vet min ($2.4 million salary, could be $15 million with tax)

It's nice to think that ownership will just pay no matter what, but with Brown and Tatum getting extensions and the repeater tax kicking in, you could be looking at luxury tax bills that are bigger than our payroll (even 2+ times as big). That is a **** load of money, and it's something that will give even the most gung-ho owners pause
I expect Golden State to really feel that crunch in the next season or two and wouldn't be surprised at all to see Thompson and/or Green leave as a result.  I mean in 2020 they will be in the repeater tax and if they still have all 4 of their core their salary could exceed 350 million with all of the luxury tax.  That just isn't sustainable for long periods of time, even for a champion in a big market like the Warriors.

Re: Luxury Tax
« Reply #5 on: July 17, 2018, 01:18:05 AM »

Offline droopdog7

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Can someone explain why we as fans should care about the luxury tax other than ownership's willingNess to pay.

Because "ownership is willing to pay" has its limits. It's one thing to pay salary*5 (or more) to keep Tatum and Brown, it's another to pay that for an MLE player ($5.5 million salary, could be over $30 million with tax) vs a vet min ($2.4 million salary, could be $15 million with tax)

It's nice to think that ownership will just pay no matter what, but with Brown and Tatum getting extensions and the repeater tax kicking in, you could be looking at luxury tax bills that are bigger than our payroll (even 2+ times as big). That is a **** load of money, and it's something that will give even the most gung-ho owners pause
I expect Golden State to really feel that crunch in the next season or two and wouldn't be surprised at all to see Thompson and/or Green leave as a result.  I mean in 2020 they will be in the repeater tax and if they still have all 4 of their core their salary could exceed 350 million with all of the luxury tax.  That just isn't sustainable for long periods of time, even for a champion in a big market like the Warriors.
This is true.  Of course, they already have three titles to show for it.  Things really came together for them.

Re: Luxury Tax
« Reply #6 on: July 17, 2018, 01:19:36 AM »

Offline droopdog7

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Can someone explain why we as fans should care about the luxury tax other than ownership's willingNess to pay.

Because "ownership is willing to pay" has its limits. It's one thing to pay salary*5 (or more) to keep Tatum and Brown, it's another to pay that for an MLE player ($5.5 million salary, could be over $30 million with tax) vs a vet min ($2.4 million salary, could be $15 million with tax)

It's nice to think that ownership will just pay no matter what, but with Brown and Tatum getting extensions and the repeater tax kicking in, you could be looking at luxury tax bills that are bigger than our payroll (even 2+ times as big). That is a **** load of money, and it's something that will give even the most gung-ho owners pause
Yup.  Fans should care because the tax WILL affect this team sooner or later.  So Iím on board with trying to delay it as much as possible.

Re: Luxury Tax
« Reply #7 on: July 17, 2018, 03:14:39 AM »

Offline Ogaju

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Can someone explain why we as fans should care about the luxury tax other than ownership's willingNess to pay.

Because "ownership is willing to pay" has its limits. It's one thing to pay salary*5 (or more) to keep Tatum and Brown, it's another to pay that for an MLE player ($5.5 million salary, could be over $30 million with tax) vs a vet min ($2.4 million salary, could be $15 million with tax)

It's nice to think that ownership will just pay no matter what, but with Brown and Tatum getting extensions and the repeater tax kicking in, you could be looking at luxury tax bills that are bigger than our payroll (even 2+ times as big). That is a **** load of money, and it's something that will give even the most gung-ho owners pause
Yup.  Fans should care because the tax WILL affect this team sooner or later.  So Iím on board with trying to delay it as much as possible.

Okay makes sense to me..... need to consider tax for team building.

Re: Luxury Tax
« Reply #8 on: July 17, 2018, 07:31:17 AM »

Offline SHAQATTACK

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Im taxed for everything else I own or do.   


Maybe the repeater tax should only apply to the Large maket teams   to keep them in check

Re: Luxury Tax
« Reply #9 on: July 17, 2018, 07:35:40 AM »

Offline Surferdad

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Can someone explain why we as fans should care about the luxury tax other than ownership's willingNess to pay.

Because "ownership is willing to pay" has its limits. It's one thing to pay salary*5 (or more) to keep Tatum and Brown, it's another to pay that for an MLE player ($5.5 million salary, could be over $30 million with tax) vs a vet min ($2.4 million salary, could be $15 million with tax)

It's nice to think that ownership will just pay no matter what, but with Brown and Tatum getting extensions and the repeater tax kicking in, you could be looking at luxury tax bills that are bigger than our payroll (even 2+ times as big). That is a **** load of money, and it's something that will give even the most gung-ho owners pause
I expect Golden State to really feel that crunch in the next season or two and wouldn't be surprised at all to see Thompson and/or Green leave as a result.  I mean in 2020 they will be in the repeater tax and if they still have all 4 of their core their salary could exceed 350 million with all of the luxury tax.  That just isn't sustainable for long periods of time, even for a champion in a big market like the Warriors.
This is true.  Of course, they already have three titles to show for it.  Things really came together for them.
That's the point that most people don't mention: Just plain good luck was a big part of their success.  Sure their best players (except KD) are home-grown drafted, but no one expected Curry to be as good as he is, and I think Draymond was a 2nd round pick.  People talk about trying to replicate what GSW did, but it might never happen again without plain good luck.

Re: Luxury Tax
« Reply #10 on: July 17, 2018, 09:52:07 AM »

Offline greece666

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One can talk about luck for sure.


But the other side of the coin is how Kerr got the best out of his roster.

Re: Luxury Tax
« Reply #11 on: July 17, 2018, 12:16:43 PM »

Offline droopdog7

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Im taxed for everything else I own or do.   


Maybe the repeater tax should only apply to the Large maket teams   to keep them in check
Yeah, that will never fly.  Besides, I would guess that the repeater tax as currently constructed will keep even the big markets in check.

Re: Luxury Tax
« Reply #12 on: July 18, 2018, 11:29:36 AM »

Offline Moranis

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Can someone explain why we as fans should care about the luxury tax other than ownership's willingNess to pay.

Because "ownership is willing to pay" has its limits. It's one thing to pay salary*5 (or more) to keep Tatum and Brown, it's another to pay that for an MLE player ($5.5 million salary, could be over $30 million with tax) vs a vet min ($2.4 million salary, could be $15 million with tax)

It's nice to think that ownership will just pay no matter what, but with Brown and Tatum getting extensions and the repeater tax kicking in, you could be looking at luxury tax bills that are bigger than our payroll (even 2+ times as big). That is a **** load of money, and it's something that will give even the most gung-ho owners pause
I expect Golden State to really feel that crunch in the next season or two and wouldn't be surprised at all to see Thompson and/or Green leave as a result.  I mean in 2020 they will be in the repeater tax and if they still have all 4 of their core their salary could exceed 350 million with all of the luxury tax.  That just isn't sustainable for long periods of time, even for a champion in a big market like the Warriors.
This is true.  Of course, they already have three titles to show for it.  Things really came together for them.
That's the point that most people don't mention: Just plain good luck was a big part of their success.  Sure their best players (except KD) are home-grown drafted, but no one expected Curry to be as good as he is, and I think Draymond was a 2nd round pick.  People talk about trying to replicate what GSW did, but it might never happen again without plain good luck.
the luck was not in finding some talents it was that Curry didn't develop until he was extended for way less than max and then having the big cap jumps right after Klay and Dray were signed, making their "max" contracts obsolete almost immediately.  It was quite simply the timing of everything they got lucky on.  I mean the Sonics/Thunder drafted Durant, Westbrook, and Harden in consecutive drafts.  They also mixed in Jeff Green and Serge Ibaka in those same 3 drafts.  They weren't blessed with a cap spike though and financial couldn't keep everyone.

Re: Luxury Tax
« Reply #13 on: July 18, 2018, 10:14:34 PM »

Offline trickybilly

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So, assuming that we need to go into the tax if Marcus puts pen to paper, curious to know how long we have to clear salary before we are tagged as a tax-payer for 18-19?
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