Nevada, Florida, Texas, and Tennessee can sign players to lesser deals and players net the same as they would in states like New York and California. Can be as much as 8-10% savings. So in essence, a team like Tampa Bay can sign another player for say 6-7 million that teams from higher tax states cannot. I believe this was a factor as to why Stamkos was able to stay in TB and take less. He truly isn't netting less.
If Uncle Gary wants to sell this hard cap idea, change the scale so teams like Buffalo aren't hurt by it.
Larry Brooks from the NY Post had an excellent column about this, but darn it if I can find it right now LOL