11 Jul 2022 19:27:34
FA and HMRC investigate a Premier League Club fir illegal agents fees hidden by paying sister club abroad.
That will be an interesting read!
11 Jul 2022 20:16:18
It will ExRef. A story in The Scottish Sun on this, however, referred to the club under investigation as using ONE of it's sister clubs.
I doubt we're not involved as we only have one sister club and probably use the FFP regulations as an excuse not to spend money rather than find ways around them. The HMRC are involved because it involves an element of tax avoidance as a consequence of this practice that more legit agents have complained to the FA about.
I wonder which club that could possibly be?
11 Jul 2022 20:23:09
Also 329 Premier League players under HMRC investigation over image rights payments. Apparently, players set up companies to receive their image rights payments the profits from which are subject to 20% Corporation Tax as opposed to the 45% personal tax they would have paid.
Not sure if that's tax avoidance or tax evasion but I can only assume they are advised to do that by their agents/accountants.
11 Jul 2022 20:26:46
If it's one of the big 6 it'll get swept under the carpet.
11 Jul 2022 21:55:29
The club in question is described as a leading Premier club so certainly a top six club.
I think that particular carpet must have a lump under it given the amount of dirt already swept under it Rated.
Sorry about the double negative in my earlier post so just for clarity I don't think it's us.
11 Jul 2022 23:02:16
I wouldn't be worried about it being us. I suspect its part of an ongoing investigation that's been going on for a few years into a certain top club that have already got away with stuff before. I think it's not that difficult to work out which one that is!
12 Jul 2022 06:42:33
Agreed Ken and fair play to the FA for sticking with this one if it is. The question is what would the likely punishments be, just financial or worse.
12 Jul 2022 07:30:47
This type of fraud really gets my goat and casts a dark shadow over our beautiful game.
More so as work is slow across the board the state of our country's economy is looking bleak.
These rich barstools on the fiddle is so wrong,lots of the public are struggling loss of earnings etc etc.
Maximum punishment for whom it concerns I say.
12 Jul 2022 08:02:11
Totally agree Phil, let's hope a very large book gets thrown at 'em.
12 Jul 2022 08:14:07
Would like to see that Phil, but what are the chances? It will be a tap on the wrist for this top club. Even Everton's loss has gone quiet.
12 Jul 2022 09:33:55
I suspect the club in question is likely to be Man City with how many sister clubs they now have. Thing is nothing will be done about it as the FA will be too scared to and if HMRC are involved they will just get paid off. Man City have fallen foul of FFP before, but all that happens is a slap on the wrist because EUFA are too scared to upset a big club. Same reason Barcelona and Real Madrid get away with it.
The player image rights thing is an interesting one. By paying the corporation tax but leaving the money in a company account it is true that they would be paying less in tax right now. I would expect the advice is to draw down on the money after retirement, but even then they would still end up paying a huge amount of tax on the money at a later date. The issue could be if the supposed companies are registered overseas or if the companies take out "loans" that never get paid back.
Will be interesting to see what develops on both sides.
12 Jul 2022 15:10:57
Probably the latter of the two image rights scenarios you describe Alex. I'm sure I read recently about one well known player doing just that.