From Question 84 of Larry Coons' FAQ:
Non-Taxpaying Teams
Outgoing salary Maximum incoming salary
$0 to $9.8 million 150% of the outgoing salary, plus $100,0004
$9.8 million to $19.6 million The outgoing salary plus $5 million2
$19.6 million and up 125% of the outgoing salary, plus $100,000
Huh. Learn something new every day.
Thanks for the heads up saltlover.
No problem. That exception is actually how we got Lee to begin with. We sent out only $11 million in salary, and took back almost $15.5 million, well above what the 125% mark would have been.
And the first line (150% of outgoing salary for up to $9.8 million) was what Dallas used in the Rondo trade.