Tax
World Cup Footballer To Settle With Spanish Tax Authorities
The global superstar has denied accusations of tax fraud through his image rights - but reports state he will consider making a settlement payment to escape any further sanctions.
Real Madrid footballer Cristiano Ronaldo is discussing a €19
million ($22 million) settlement with the Spanish Tax Agency,
which will bring legal proceedings against him to a close.
The Portugal international player, who will captain his country
during the upcoming World Cup in Russia, is accused of four
crimes relating to the taxation of image rights. This publication
reported on the accusation in June last year.
Spanish newswire El Mundo said that Ronaldo will
apparently still need to make an admission of wrongdoing in any
settlement - and he remains keen to bring the final figure down -
but he would avoid further sanction. He had previously denied
claims of any wrongdoing.
This publication
reported in April that Ronaldo had allegedly used more
offshore firms than previously thought for his tax
arrangements.
WealthBriefing has regularly reported on the image
rights' tax avoidance crackdown in Spain surrounding a host of
big names in the world of football, including Lionel
Messi. Most recently, in March, this publication reported
that former Liverpool and Real Madrid footballer Xabi Alonso is
facing a possible five-year jail term after Spanish authorities
accused him of tax fraud. This week, WealthBriefing also
reported on HMRC's crackdown on footballers' tax avoidance
schemes.
The profusion of cases against sports, media and entertainment
stars in recent years raises questions about the duty of care
that wealth managers and others owe to such persons, particularly
in cases where clients are young and don't qualify under many
regulatory rules as 'sophisticated' investors.