POSTED: Jul 9, 2013 10:26 PM ET
NEW YORK — The National Basketball Association today announced that the Salary Cap for the 2013-14 season will be $58.679 million. The tax level for the 2013-14 season has been set at $71.748 million.
The Salary Cap and tax level go into effect at 12:01 a.m. ET on Wednesday, July 10, when the league's "moratorium period" ends and teams can begin signing free agents and making trades.
Beginning with the 2013-14 season, tax rates for incremental spending above the tax level will increase. In previous seasons, any team whose team salary exceeded the tax level paid a $1 tax for each $1 by which it was over the tax level. The new tax rate schedule is below:
The minimum team salary, which is set at 90% of the Salary Cap, is $52.811 million for the 2013-14 season.
The current Collective Bargaining Agreement provides for three different mid-level exceptions depending on a team's salary level. The non-taxpayer mid-level for this season is $5.15 million, the taxpayer mid-level is $3.183 million and the mid-level for a team with room under the Salary Cap is $2.652 million.