Straight from CFL.ca. It was regarding the first version of the cap so things may have changed but I;m sure the system is pretty close to this:
CFL SALARY MANAGEMENT SYSTEM -Core Program Components Summary
Maximum Salary Expenditure Cap (SEC) of $3.8M established for 2006.
Effective Enforcement Measures including:
Full disclosure of player compensation.
Hired compliance officers with full access to team records.
Salary Transparency with central repository of player salary information.
Significant non-discretionary Penalties for Breaching SEC maximum based on a progressive financial system as well as competitive measures (forfeited draft picks), to take effect in 2007.
First $100,000.00 $1 to $1
$100,000.00 to $300,000.00 $2 to $1
$300,000.00 + $3 to $1
Limit on Players Under Contract to 75 players in off-season, 68 players by training camp (current year draft choices exempt).
Active Roster Limit (ARL) increased to 42 from 40 (1 import, 1 non-import), and a 4 man Reserve Roster.
Filing of Rosters timing changed from 48 hours notice to 1 hour prior to kickoff.
Practice Roster: Each club may have a practice roster consisting of a maximum of seven 7 players in accordance with the following terms and conditions:
At least 1 place on the practice roster shall be filled by a non-import player (other than a non-import player who was a candidate in the current year CFL Canadian Draft, who is not the property of another CFL club);
If 7 places are used by a member club on it’s practice roster, at least 1 place on the practice roster shall also be filled by a non-import player who was a candidate in the current year CFL Canadian Draft, who is not the property of another CFL club.;
During 30 days during the season which coincide with the National Football League cut-down of roster period, each CFL club may increase it’s practice roster up to a maximum of twelve 12 players.