The NBA league office and some team owners are in favor of more punitive penalties in its luxury tax.
A hard cap on team salaries, however, continues to be a non-starter for the NBPA.
Team executives believe the tax penalty will possibly be the biggest issue the two sides will need to resolve as part of this collective bargaining agreement.
If the NBA further increases luxury tax penalties, it will create more revenue share opportunities, but it will also prevent smaller market teams from ever considering going into the tax for multiple years to sustain a contending team.
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