Stricter luxury tax penalties in new CBA could actually help big market teams

42 Comments

The NBA’s lockout prior to the 2011-12 season was certainly all about money, and how the owners could channel more of the league’s revenue into their pockets instead of those of the players.

But it was also about putting a system in place that would, in theory, make it more difficult for the teams in the largest markets to simply spend their way to a title.

While the new, harsher luxury tax penalties put into place make it severely punitive financially to go out and exceed the tax threshold season after season, there is a loophole that exists which works to the advantage of the large market teams in the long run, while working against their small-market counterparts.

From Larry Coon at HoopsWorld:

The first year of the repeater tax (2015) will only apply to teams that were also taxpayers in the three previous seasons — 2011-12 through 2013-14. So right now, only Boston and the Lakers are candidates. The Celtics will probably stay out of the tax this season, and the Lakers are clearing the books next summer. So I don’t think any team will be a repeater in 2015.

Starting in 2016 a team is a repeater if they were taxpayers in any three of the previous four seasons (for 2016 that’d be 2011-12 through 2014-15). That means any team that was a taxpayer in either 2012 or 2013 would be a repeater if they are a taxpayer in both 2014 and 2015. Most teams will be able to avoid the repeater penalty. A few teams like Brooklyn probably won’t care.

The system is set up — well, “set up” is probably a bad way to put it. I don’t think they did it intentionally — so that two years out of the tax buys you three years IN the tax without being a repeater. I think many teams will adopt this strategy.

That last part is the key.

Take a team like the Celtics, for instance, who had no problem committing to payroll that would put them over the tax threshold when they were trying to contend for a title over the last few seasons. They’re rebuilding this year and next at minimum, but after those two years out of the tax, they could add free agents and load up for another run at a title by spending whatever it costs for the next three seasons, all the while avoiding the dreaded repeater tax.

There are very few teams that won’t try to implement this strategy. This summer, we saw the Heat use the amnesty provision to waive Mike Miller, even after he was a part of winning back-to-back titles, because the move saved them a total of $17 million in salary and luxury tax costs. And we saw the Lakers make a similar move to cut costs when they waived Metta World Peace.

The Nets are one club that doesn’t seem to care about dollars, but they’re certainly in the minority. Most large market teams will use payroll to chase championships when the talent on the roster dictates it. Small market teams, wary of even the more basic tax threshold, still won’t be able to meet that standard.

Cavaliers’ Kendrick Perkins not into “all that new stuff” like Chewbacca

Getty Images
2 Comments

Chewbacca was at Game 3 in Cleveland Saturday. Sitting courtside.

Why? Because growing up on Kashyyyk he played a little hoop and admires LeBron James‘ skill? Because Drake gave him the tickets? Maybe. I mean, it’s not like that was just a clever little publicity stunt for a movie.

After the Cavaliers’ win, Kevin Love decided to make a little joke of it with noted humorist Kendrick Perkins, and it went over as well as expected (with Dave McMenamin of ESPN catching it).

That’s vintage Perkins.

Celtics’ Terry Rozier on Game 3: “We needed to get our butts whooped”

Associated Press
2 Comments

Cleveland dominated Game 3 Saturday night. They played harder, to start. The Cavaliers’ defensive pressure on the ball was better, they were sharper rotating out to shooters and covering passing lanes. Cleveland’s role players stepped up and helped LeBron James.

Boston, meanwhile, wilted in the face of that pressure Saturday, something it has done a few times on the road these playoffs. The Celtics got away from the things that got them to the Eastern Conference Finals. Guard Terry Rozier put it more bluntly, via A. Sherrod Blakely of NBC Sports Boston:

“I feel like we needed this (loss) to get us back … to get us ready for Monday,” Rozier said.

Rozier later added, “We needed to get our butts whipped. Come back to reality and take care of business on Monday.”

Cleveland is a championship team — from LeBron James on down through the core guys, they all have rings. They have been down before, and heading home it was expected they would play with force. Cleveland’s back was against the wall and they responded.

From the Celtics’ perspective, they also got a little too fat and happy and were not ready for what the Cavaliers came with in Game 3.

Now the pressure is on Boston to push back, to get back to their level of execution and do it under pressure. Make the Cavaliers prove the improved defensive effort was not a one-off game. The Celtics must move the ball and play with some pace, then see if the Cavaliers can keep it together in the face of crisp play.

When this series heads back to Boston Wednesday, it will either see the Celtics in control up 3-1, or the series will be a best of three (with the Cavs still having to figure out if they can win on the road). At home, the Cavaliers are going to play with force again and have some depth. We’ll see if Game 3 was enough of a wakeup call for Boston.

PBT Extra: Can Rockets take Game 2 energy, execution on the road?

2 Comments

Houston found its blueprint to beating Golden State in Game 2: Strong defensive pressure on the ball, quick switches and communication on defense, getting out in transition when possible, and starting sets earlier in the shot clock and attacking downhill with James Harden and Chris Paul.

Now can they do that on the road? Against a more focused and sharper Warriors’ team?

That will be the question in the next two games of the Western Conference Finals, and it’s what I discuss in this latest PBT Extra.

Cavaliers cruise past Celtics in Game 3, change complexion of Eastern Conference finals

AP Photo/Tony Dejak
15 Comments

The Cavaliers were heavy favorites over the Celtics entering the Eastern Conference finals. LeBron James has dominated the East for years, and Cleveland appeared to hit its stride in a sweep of the Raptors last round. Boston was shorthanded and inexperienced.

Were the Celtics’ two wins to open the series, as impressive as they were, really enough to override everything else we knew about these teams?

The Cavs walloped Boston in Game 3, 116-86, Saturday. Cleveland now has four of the NBA’s last five 30-point playoff wins – two against the Celtics last year, one over Toronto last round and tonight. (The Cavaliers lost the league’s only other 30-point game between, to the Pacers in the first round.)

Boston still leads the series 2-1, and teams up 2-1 in a best-of-seven series have won it 80% of the time.

But the team up 2-1 is usually the one seen as better entering the series. That isn’t the case here, not with LeBron on the other side. And the leading team usually isn’t so woeful on the road, which will remain a major storyline entering Game 4 Monday in Cleveland.

The Celtics bought themselves margin for error, but they blew a lot of it tonight.

It’d be an oversimplification to say the Cavs just played harder, but they did, and it went along way. They chased loose balls, tightened their defense and moved more off the ball offensively. Cleveland jumped to a 20-4 lead, led by double digits the rest of the way and spent most of the game up by at least 20.

LeBron (27 points, 12 assists, two blocks and two steals) dazzled as a passer and locked in as a defender. He received help from several players:

In a low-resistance effort, Boston didn’t goon up the game at all.

The Cavaliers still have plenty of work ahead to reach their fourth straight NBA Finals, but tonight, they showed a path to advancing. Climbing out of their early series deficit now looks far less intimidating.