How the Luxury Tax Might Affect the Heat

You've probably heard by now that the new CBA's luxury tax rules will have adverse effects on well-constructed teams like the Thunder and the Heat. One thing that hasn't been discussed in depth is how exactly these teams will be affected by the tax. You probably won't notice any big difference this season or in 2012-13, as the dollar-for-dollar tax rules from the previous CBA will remain in effect for those seasons. It's in the following seasons that you will begin to see the effects. Remember, the Heat were taxpayers during the 09-10 season. Thus, they will satisfy the repeat offender (exceeding the luxury tax in 4 of the past 5 years) clause by the conclusion of the 2013-14 season, assuming Miami exceeds the tax in each of the next 3 seasons. Starting with the 2013-14 season, teams who go $5 million or less over the luxury tax threshold will pay $1.50 for each dollar they exceed the limit by. Repeat offenders (e.g. the Heat), however, will pay $2.50 for each d...