Cavs Remain NBA’s Top Luxury-Tax Payer After Drastic Deadline Cuts
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The Cleveland Cavaliers still sit atop the NBA’s luxury-tax list, even after slashing their projected bill by more than half before last week’s trade deadline.
According to figures compiled after the All-Star break, only seven franchises are currently above the tax threshold—down from 14 earlier in February, ESPN’s Bobby Marks reported. The Celtics, Nuggets, Suns, Mavericks, 76ers, Magic and Raptors all executed moves that pushed them below the line, while several other clubs reduced, but did not erase, their exposure.
Cleveland engineered the most dramatic shift. The team’s tax penalties were once forecast at nearly $164 million; deadline transactions trimmed that figure by roughly $95 million, leaving an estimated $68.7 million still owed, data from Sports Business Classroom’s Eric Pincus show.
The Golden State Warriors trail just behind the Cavaliers in projected penalties, with the New York Knicks and Los Angeles Lakers next in line.
Final tax numbers will not be locked in until the regular season ends, as incentives, late signings and additional roster moves can alter payroll calculations. For now, the league-wide tax pool has contracted, reducing the expected distribution to non-taxpaying teams to about $4.8 million each.
For the Cavaliers, the reduction represents significant savings without deviating from the organization’s competitive blueprint—a price they are still prepared to pay.
Source: Hoops Wire
