MLSE to go into luxury tax to keep bosh...

[djsunyc]

But give the all-star credit. He was correct in pointing out that nearly every serious contender has exceeded the luxury-tax threshold, set at about $70 million this season, when the Raptors spent about $68 million on salaries. It’s more expensive than it sounds because every dollar spent above the limit triggers a $1 tax and forfeiture of the proceeds of a luxury-tax kitty distributed to non-tax teams.

So give Colangelo credit, too. The GM said Thursday that if Bosh chooses to stay in Toronto the Raptors’ payroll will rise above the projected tax threshold, and that the team’s ownership is braced to spend the dough.

“The question is, to what degree do you become a tax team?” said Colangelo. “But the (MLSE) board of directors has authorized a certain level of spending that is clearly into the (projected) tax.”

So, would Colangelo be authorized to sign Bosh, re-sign fellow free agent Amir Johnson and — keeping in mind Bosh’s steep ante — spend yet more taxable dollars on another player or two via the mid-level exception, which this year was worth $5.8 million?

“How deep into the tax we go is going to be based on the scenario I present to the board,” Colangelo said. In other words, if he can make a compelling case to the money men, he can get the money.

http://www.thestar.com/sports/basket...ecides-to-stay

[pebloemer]

I read that this morning too. It is as I expected. Even if we don't resign Amir and Wright, I figured to give Bosh the max and fill out the rest of the roster would force us into the luxury tax zone anyways. That would be the biggest hurdle I'd imagine for a Gm to present to the owners. Once they are in, it is just the dollar for dollar consequences to consider - money recieved from tax paying teams is no longer in consideration. As BC pointed out, how far he goes into the tax still matters. If BC has strong plans to bring in big name players to convince Bosh to stay, hopefully MLSE is willing to pull out their pockets a bit more for the immediate success of at least one of their franchises.

[Eagles4Lyfe]

trading calderon evans will help free up a lot of needed salary cap, with that we need to sign amir and either pf/c/wing

[The Claw]

Its all talk...make it happen MLSE.

Colangelo's guillotine is the 2010 Season if MLSE decides to pay the dollar for dollar compensation and the Raps finishes no less than a 2nd round appearance in the 2011 playoffs.

We will wait and see !

[Bob_at_york]

is this news, I think to sign Bosh they already would have to go into the luxury tax. THey were close this year were they not?

[clutchski]

Bout time. I'm not an expert obviously..but it makes sense that the MLSE goes into the Tax to keep or bring back a winning team to Toronto. Leafs are rebuilding, TFC hasn't been winning, the Jays aren't projected to do great this year (although they're off to a great start). Hopefully they see the opportunity in the Raptors and they take it..otherwise we could be heavy into rebuilding.

[The Claw]

There were so many "what ifs" this past season...

if those tip shots, last second shots were made and no injuries that disrupted the chemistry, they could gotten in the playoffs.

So IMO...BC should really present a convincing case to MLSE...

Sign Bosh, find that missing piece and maintain that bench strength.

another season, you never know !

[Rego247]

whats the point, if they go over to sign bosh, and maybe amir

were still a mediocre team, at best. with no stud wing or defensive center we wont stand a chance next year of making the playoffs. it is what it is. right back to square one.

[rj2115]

what's the point of going over salary cap if you are not going to get the right players in tje first place

[B2B]

is this news, I think to sign Bosh they already would have to go into the luxury tax. THey were close this year were they not?

“How deep into the tax we go is going to be based on the scenario I present to the board,” Colangelo said. In other words, if he can make a compelling case to the money men, he can get the money.

Colangelo has to get something on the table to convice Bosh this team could be better than what it is now, not just a laterall movement that only sees Bosh contract send us into tax.

[The Claw]

http://sports.espn.go.com/nba/news/story?id=5099980

The New York Knicks and other teams hoarding salary-cap space got some good news Friday when they were told at the league's Board of Governors meeting that the projected 2010-11 salary cap will be $56.1 million.

That figure was $2 million to $3 million more than most teams had been expecting, and for the Knicks it ensures they have enough cap space this summer to sign two maximum-salary free agents.

"That's a lot of money. That's good," said Knicks president Donnie Walsh, who attended the meeting to learn the results of the Knicks' draft position through a tiebreaker.

Because of the worldwide economic downturn, the league had warned teams last July to expect the salary cap to be significantly lower -- perhaps as low as $51 million.

Other teams that will be positively affected by Friday's news include the Nets, Heat, Wizards, Bulls, Clippers and Timberwolves.

[Clayton Bigsby]

“How deep into the tax we go is going to be based on the scenario I present to the board,” Colangelo said. In other words, if he can make a compelling case to the money men, he can get the money.

Colangelo has to get something on the table to convice Bosh this team could be better than what it is now, not just a laterall movement that only sees Bosh contract send us into tax.

Agreed. Its either a tax team WITH bosh or a tax team with no Bosh, no playoff revenue, less renewed season seats, and an ugly record to boot. One can argue that going into the tax with Bosh and another wing is the only way to make money going forward

[clutchski]

well that's bad news for us I guess

[thomas1]

In order to give Bosh the max and upgrade the team to a competitive level (as Bosh suggested;i.e. add another all star), we will need to go deep in the luxury tax. The only way avoid this is to trade either Jose or Hedo for that all star player or expirings.

It will be very difficult and will require some creativity and maybe sacrifice as in packaging the our pick.

[ink]

I guess the trade off they're figuring on is a mediocre product with a star still sells more tickets than an improving, balanced product without a star. So even though it caps out the team and prevents them from getting much better, having an All Star or two still brings in enough revenue. I think it's the stupidest move to date.

I'm not convinced that Bosh is the player to build around or that one more high priced free agent signing is going to work out. Didn't the last two acquisitions teach them anything? Kind of amazing how hard it is for them to learn that you can't do it this way.