{"id":289743,"date":"2023-10-02T21:27:27","date_gmt":"2023-10-02T21:27:27","guid":{"rendered":"https:\/\/sportsloveme.com\/?p=289743"},"modified":"2023-10-02T21:27:27","modified_gmt":"2023-10-02T21:27:27","slug":"premier-league-clubs-hit-with-124-8m-hmrc-claim-for-unpaid-tax","status":"publish","type":"post","link":"https:\/\/sportsloveme.com\/soccer\/premier-league-clubs-hit-with-124-8m-hmrc-claim-for-unpaid-tax\/","title":{"rendered":"Premier League clubs hit with \u00a3124.8m HMRC claim for unpaid tax"},"content":{"rendered":"
Premier League clubs had \u00a3124.8million claimed back from them in unpaid tax by HMRC investigators in the most recent financial year.<\/p>\n
Accoring to figures compiled by accountancy group UHY Hacker Young, this was more than double the \u00a358.7million claimed in the previous year.\u00a0<\/p>\n
The staggering amount was made up of payments including National Insurance on agents’ fees and image rights, as well as tax on benefits in kind.\u00a0<\/p>\n
Benefits in kind included arrangements made for players and their families by clubs, including flights and hotels.<\/p>\n
It had previously been suggested that Premier League sides had avoided paying \u00a3250million in tax by using dual representaition contracts when paying agents.<\/p>\n
<\/p>\n
HMRC claimed back \u00a3124.8million from Premier League clubs in the previous financial year\u00a0<\/p>\n
According to Tax Policy Associates, dual representation allows clubs and agents to avoid employment taxes and VAT on the large commissions paid to football agents in transfers and contracts.\u00a0<\/p>\n
It sees an agent receive payments for acting for both the club and player in the deal, rather than solely from the player they represent.<\/p>\n
The fees paid to agents reportedly escape income tax, national insurance and VAT when the sum is paid by the club.<\/p>\n
Following news of the HMRC claim, Elliott Buss of UHY Hacker Young explained: ‘HMRC now have these clubs’ tax affairs in their sights.<\/p>\n
‘The growing proportion of agents’ fees being paid by clubs is drawing the attention of the taxman to the possibility that not all tax due on these payments is being paid.’<\/p>\n
In a statement, HMRC said: ‘We will continue to carefully scrutinise arrangements between clubs, players and agents to ensure the correct tax is paid.<\/p>\n
‘We work closely with the football industry to educate and deal with tax risk head on.’<\/p>\n