tax proposals of the owners and of the players. The owners' suggestion to tax the portion of a team's payroll greater than 115% of the average MLB team payroll at a 40% rate is expected to decrease the average star's salary by $412,500. The players' proposal to tax the portion of a team's payroll greater than 133% of the average MLB team payroll at a 25% rate causes the average star's salary to fall by only $57,895. These are rough estimates, but they suggest that the positions of the owners and players are rather far apart. Also, star players may have a lot to lose if the owners impose their version of the luxury tax.