Loading...
Loading Live Scoring...
*All times CAT (GMT+2)

Football | Spain

Mariano Rajoy © Action Images

Spanish gov gets tough with clubs



The Spanish government has begun slapping embargoes on some soccer clubs' future earnings as it tries to force them to settle outstanding tax bills worth around €750 million at the start of the year.

The clubs' liabilities attracted the attention of European Union anti-trust officials, prompting the government and the football league (LFP) to agree a "road map" in April designed to allow them to settle up.

Spain's tax agency has collected €329.9 million this year, with 305.1 million coming from clubs in the first division, according to an agency briefing note.

Some 130 million euros more is expected to pour into the agency's coffers this year, around 55 million of which is accounted for by embargoes placed on income from sources including audiovisual rights, ticket sales and lottery, the note said.

The agency declined to specify which clubs had been affected by the embargoes.

Soccer clubs' tardiness in paying their taxes has caused deep resentment in Spain at a time when many citizens are having to tighten their belts as wages and benefits are cut and taxes on incomes and goods and services rise.

As well as their tax liabilities, clubs owe around €600 million to the social security system and many are in dire financial straits after years of profligacy.

Prime Minister Mariano Rajoy said this week clubs would not be allowed any more leeway.

"The soccer clubs will pay their debts to the tax authority and the social security system," Rajoy told Spanish radio.

"Soccer clubs, soccer players and everyone else has to pay taxes," he added. "The Treasury Ministry has my instructions."

The government's tough new line appears to already be having an effect on La Liga clubs.

Total spending by the 20 teams in Spain's top division in the last transfer window fell by 65 percent to €128 million, according to the latest Prime Time Sport Transfer Review published in September.

La Liga clubs earned 55 million euros more from player sales than they spent strengthening their squads, the study showed.



Comments

More expert analysis and opinion from Sport24
The opinions expressed by Sport24 experts and bloggers are theirs alone, and do not necessarily represent those of SuperSport

Event Streaming

Channel Streaming

Other Live Streaming

Event Streaming

Channel Streaming

Sports Talk



Dr Errol Sweeney
Armchair refs make me sick
There’s a great expression by Clint Eastwood in one of his “Dirty Harry” movies that epitomises...

Segun Odegbami
Worries for Enrique, Mourinho and Oliseh
Three international coaches have been on my mind this week. The first is Luis Enrique.

Neil Tovey
Rakhale – kasi star on the rise
Thabo Rakhale has come on in leaps and bounds as a player since he debuted for Sivutsa Stars during...

Emeka Enyadike
All eyes on Coutinho
Phillippe Coutinho produced one of the standout moments of the opening week of the Premier League.

Calvin Emeka Onwuka
De Gea won't determine United's season
I watched Manchester United’s EPL match at a snow bound White Hart Lane in January 2013.

Sunday Oliseh
EPL will be a heated battle
Many thought it would be business as usual for Chelsea as they took on Arsenal at the Wembley...