The current Collective Bargaining Agreement between owners and players expires on December 1, so the two sides held their first face-to-face meeting this week. According to a report by Evan Drellich and Ken Rosenthal at The Athletic, owners proposed a salary floor requiring each team to spend at least $100 million on players. In exchange for the floor, owners would want to lower the luxury tax threshold to $180 million - down from the current $210 million threshold.
The owner’s proposal would tax payroll over the threshold at a rate of 25 percent, with higher tax rates for higher payrolls.