Which of the following leagues uses a luxury tax?

Question

Quizplus · Accepted Answer

MLB is the only league that currently uses a luxury tax. The luxury tax was implemented in 2002 as a way to discourage teams from spending too much money on player salaries and to increase competitive balance in the league. Teams that exceed a certain payroll threshold are subject to a tax on the excess amount. The revenue collected from the luxury tax is then distributed to teams with lower payrolls in the form of revenue-sharing.

Which of the Following Leagues Uses a Luxury Tax