26 replies to this topic

[ckn]

Telegraph linky

I thought long and hard about whether to post this in the main forum but decided here's best. This may come bite rugby league before long, HMRC are concentrating on football because that's where the big money is but EBTs (Employee Benefit Trusts) were widely used in many sporting environments as an inducement to get foreigners here (and keep top local talent). I wonder how many RL chairmen are sweating a bit at HMRC's no-tolerance attitude.

[Futtocks]

I wonder how many RL chairmen are sweating a bit at HMRC's no-tolerance attitude.

Forewarned is forearmed. Hopefully.

[ckn]

Forewarned is forearmed. Hopefully.

The problem with these EBTs is that they weren't formally declared "tax evasion" until Dec 2010 or so, before that they were one of these things that had a legitimate and beneficial purpose but were exploited as a tax loophole by the wealthy. Their original purpose was for small co-op type structures where people could pay a small portion of their wages into a trust that would be used to benefit all employees, for example, bereavement or illness.

HMRC were given extra powers to go after these avoidance structures that were really nothing more than disguised evasion. If HMRC had the people to investigate more widely then I don't think much of Britain's sport would be unaffected.

The problem is that now there are other avoidance schemes being used that are again loopholes, such as routing payments through the Isle of Man exploiting double taxation legislation and effectively allowing high earners to keep 95% of their income rather than the 65-70% you'd expect if you were an employee earning over £100k. Again, there are plenty of people I know using them and naively thinking that HMRC aren't looking on and getting their retrospective taxation claims ready.

[Stevo]

Telegraph linky

I thought long and hard about whether to post this in the main forum but decided here's best. This may come bite rugby league before long, HMRC are concentrating on football because that's where the big money is but EBTs (Employee Benefit Trusts) were widely used in many sporting environments as an inducement to get foreigners here (and keep top local talent). I wonder how many RL chairmen are sweating a bit at HMRC's no-tolerance attitude.

Arsenal found the HMRC much more accommodating, apparently - negotiated a £300m bill down to £10m is the whisper. I guess one of Rangers' mistakes was not to take Hartnett out to lunch more often. Well, that and having Craig Whyte as owner - he's probably "got form" in the eyes of the HMRC

[gingerjon]

Arsenal found the HMRC much more accommodating, apparently - negotiated a £300m bill down to £10m is the whisper. I guess one of Rangers' mistakes was not to take Hartnett out to lunch more often. Well, that and having Craig Whyte as owner - he's probably "got form" in the eyes of the HMRC

Rangers have been given plenty of chances to sort themselves out including - I believe - some very favourable terms to make those payments more comfortable.

Hopefully Celtic will be next and we can be rid of both sets of ... (*)


(* Cue the whining from each half that they're no as bahd as that other lot)

[The 4 of Us]

If Celtic had any sense they'd be lending the 'Gers the money to pay off the tax bill because without Rangers and all the cash that flows from that they'll be in bother themselves I would suspect? Extra matches against Cally Thistle and the like aren't going make up that hole.

[EdinburghExile]

If Celtic had any sense they'd be lending the 'Gers the money to pay off the tax bill because without Rangers and all the cash that flows from that they'll be in bother themselves I would suspect? Extra matches against Cally Thistle and the like aren't going make up that hole.

Celtic couldn't afford that even if they wanted to. This way they're guaranteed in the Champions' League at least. And the comment above about the current owner, I've little doubt that he's getting the book thrown at him in every way possible, he seems like a right slippery bar steward.

[shrek]

The only crying shame here is the assets (training ground and Ibrox) will be owned by a different company to the one that goes into Administration so once again the tax man will lose out as any assets in the "football club" will no doubt be swallowed up paying off the players any debts they are owed.

If the football club re-emerges from the ashes so to speak and plays out of the same ground, in the same division the tax man should have some right to old debts - and no this isn't just a Rangers issue I'd feel the same about ANY sports club.

[l'angelo mysterioso]

I'd like to think that it signlas the crashing down of the whole stinking edifice, but I doubt it.

I wonder if England is next.

Rugby League is used to being skint, and flirting with the administrators.

[shrek]

I'd like to think that it signlas the crashing down of the whole stinking edifice, but I doubt it.

Sadly I don't think it will either.

Does the tax man have to give credit? Surely if Rangers or any other football club reform having ducked a big tax bill they should be entitled to the tax as it falls due. Can only imagine other creditors who get there fingers burnt are a whole lot tougher on offering credit in the short term to them so why should the tax man be different?

[gingerjon]

Apparently only the Chairman is currently a secured creditor.

However the HMRC handforcing has secured its aim and Rangers are now formally in administration.

[gingerjon]

Rugby League is used to being skint, and flirting with the administrators.

Rugby league clubs certainly have an excellent track record of avoiding giving the taxman his due and then emerging as identicial identities.

[Trojan]

I know very little about soccer and even less about Scottish soccer, but I thought Rangers and Celtic dominated the game there and drew huge crowds, plus all the other stuff, scaves, repica shirts etc. I always had them in my mind with Man U as the top clubs in the UK. The fact that they've gone into administration has shocked me.

[Bedford Roughyed]

I know very little about soccer and even less about Scottish soccer, but I thought Rangers and Celtic dominated the game there and drew huge crowds, plus all the other stuff, scaves, repica shirts etc. I always had them in my mind with Man U as the top clubs in the UK. The fact that they've gone into administration has shocked me.

Rangers and Celtic do still dominate and have very big fan bases. However the Premiership has moved on in the last 5-10 years leaving them far behind. They don't get anywhere near the TV money so can't compete with the bottom PL teams, even championship teams can out bid them for players.

[RhinoLaney]

Yes the current chairman, Craig Whyte must take some of the blame but the person who started all of this off was "Sir" David Murray. He's the person the fans should be blaming!

To be in debt by that much is shocking, really shocking.

I haven't been up to Ibrox this season actually which is unusual for me, but to be honest this has been coming for quite some time.

The next few weeks are going to be crucial for Rangers supporters...

I see the Bookies have this morning payed out bets for Celtic to win the League

[1976PMJwires]

That's Scottish football up the wall
Celtic will be begging the English fa to play in England

[RhinoLaney]

It'll NEVER happen though Wire!

For a start imagine how much Police they would have to be when they come down to play someone from League2 for instance?!

I remember when Rangers came down for Stuart McCalls testimional game at Valley Parade. I was only around 7 or 8 at the time but what a fantastic atmosphere it was inside the ground.

All I remember around was empty beer cans lying around the ground literally everywhere around the Stadium!

[1976PMJwires]

Hence why I said beg
I know it won't happen

[RhinoLaney]

Hence why I said beg
I know it won't happen

Jesus Christ, OK.

Keep your hair on...if you have any.

[1976PMJwires]

Jesus Christ, OK.

Keep your hair on...if you have any.

Language Timothy
No probs from me, couldn't be assed editing the post from bold, no issues whinoave