Sport | Arsenal Players Avoid Paying Taxes ~ Legally.
Arsenal Players and Wenger Pay Less Tax
After Ray Parlour's Wife(ex) Karen skinned him in court, what also came to light was Parlour's tax payments on income.
Apparently Arsenal players sign 2 contracts - 1 for basic salary which is taxed as normal, around 40% and another for performance bonus related payments. These bonus payments can add up if Arsenal play well and can amount to doubling Arsenal players basic salary.
In 1 season alone Arsenal payed 76k in tax on 7.6 million pounds of player payments. A firm called Sevco 1270 which Arsenal players are shareholders of, paid bonuses to a Jersey based trust fund. Even the manager(Arsene Wenger) has saved grands using this method.
Arsenal have also set up what is known as a employee benefit trust, through which bonuses are loaned to players, but never paid back. 41% in tax would normally be due on such loans if they were paid directly rather than from offshore, Arsenal players paid 1%.
Arsenal reckon they cannot comment because contract details are confidential.
I gather all this is totally legal and above board.
Gamblog Comment :: It might be legal but it still stinks and when all the teams in the professional leagues follow suit it won't be legal for long.
