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Sham breaks down the Luxury Tax in a really good read. "So, if you want to team to cross over into tax territory in order to make your desired transaction, ask yourself if it's worth both the extra tax payments and the loss of that rebate to the owners. Because it probably isn't."

The NBA sent out an ominous memo to its teams on the eve of the league’s trade deadline to outline dramatic projected drops in salary-cap and luxury-tax levels for the next two summers, Yahoo! Sports has learned. Because of rapidly declining revenues, the league office delivered a sobering warning to teams trying to free cap space for the historic free-agent class of 2010: Owners and executives will likely have to strip more payroll than initially planned.