I want them to develop a system where the cap is based on after tax salaries.
Great minds think alike. I looked up all tax rates (federal - provincial/state) to see how pro-rating the cap based on tax rates would look like, here are my results:
Canada 33% federal
U.S. 37% federal
Because the U.S. federal rate is 4% higher than Canada, I factored that in for U.S. teams.
The amount under Difference is the percentage the cap should be lower for those teams. So under this scenario, only Montreal Canadiens would get the full cap amount, everyone else would be lowered based on the difference in tax rates.
Province/State Rate Difference Teams
Quebec 21.25% 0.0$ Montreal Canadiens
B.C. 20.5% .75% Vancouver Canucks
Manitoba 17.4% 3.85% Winnipeg Jets
California 13.3% 3.95% L.A. Kings, Anaheim Ducks, San Jose Sharks
Alberta 15.% 6.25% Calgary Flames, Edmonton Oilers
New York 10.9% 6.35% New York Islanders, New York Rangers, Buffalo Sabres
New Jersey 10.75% 6.5% New Jersey Devils
Washington D.C. 10.75% 6.5% Washington Capitals
Minnesota 9.85% 7.6% Minnesota Wild
Ontario 13.16% 8.09% Ottawa Senators, Toronto Maple Leafs
Massachusetts 9% 8.25% Boston Bruins
Illinois 4.95% 12.3% Chicago Black Hawks
Missouri 4.95% 12.3% St. Louis Blues
Utah 4.85% 12.2% Coyotes
North Carolina 4.75% 12.1% Carolina Hurricanes
Colorado 4.4% 12.85% Colorado Avalanche
Michigan 4.25% 13% Detroit Red Wings
Ohio 3.99% 13.26% Columbus Blue Jackets
Pennsylvania 3.07% 14.18% Philadelphia Flyers, Pittsburgh Penguins
NO TAX STATES 0.0% 17.25%
Florida Florida Panthers, Tampa Bay Lightening
Nevada Las Vegas Knights
Tennessee Nashville Predators
Texas Dallas Stars
Washington Seattle Kraken
So for the no tax states, if the cap were set to 100 million, they'd each only have 82,750,000 to spend. They'd still be a preferred destination, but players would have to take a discount in order for them to ice a competitive team. This will never happen, but it would be nice.