AFL AND club representatives were tight-lipped after emerging from Thursday's meeting of the equalisation working party, saying progress had been made but a resolution remained some way off.

The AFL's equalisation plan became clearer this week, with details emerging that the League was proposing a cap between $20-21 million on football department spending, a luxury tax of up to 50 cents in every dollar spent above that cap and a tax on overall club revenue.

AFL.com.au also understands the AFL is proposing to scrap the veterans' allowance and the Sydney Swans' cost of living allowance.

Collingwood president Eddie McGuire said Thursday's meeting had been frank and productive, but had not defused the Pies' concerns about the extent to which they and other wealthy clubs would be asked to contribute financially under the AFL's proposed equalisation model.

"When people are talking about taking money off you there's never any defusing, I can promise you, but we are all working in the spirit of trying to build the great game of Australian rules football," McGuire said. 

AFL chief executive Andrew Demetriou told AFL.com.au the working party remained on track to agree on a new equalisation scheme ahead of the 2015 season.

"We had a very lengthy meeting today where we worked through what are obviously some complex issues," Demetriou said.

"There was some vigorous debate as you'd expect, but we made some progress today.

"We'll keep working at it. I'm sure there will still be some robust debate, but the 2015 season is the date we've always been working towards, so we're on track." 

Asked whether the proposed tax on club revenue remained the biggest sticking point between the AFL and clubs, Demetriou said it was one of several unresolved issues.

The clubs are represented on the working party by McGuire and fellow presidents Peter Gordon (Western Bulldogs) and Andrew Newbold (Hawthorn), and club chief executives Keith Thomas (Port Adelaide), Brendon Gale (Richmond) and Trevor Nisbett (West Coast).

The working party will update the rest of the clubs at the AFL's season launch in Adelaide next Tuesday.

AFL Players' Association chief executive Matt Finnis is also a member of the working party.