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Many top Premiership footballers are paying lower rates of tax than the supporters who watch them by making use of a tax loophole. Players and managers are declaring themselve non-domiciled or claiming non-resident status by commuting in and out of Britain for matches and training sessions. In total, 302 footballers or managers have 'non-domiciled' status in Britain and another 67 claim they are 'not resident'. Non-domiciled players must be born abroad or have parents born abroad, which would cover someone like Owen Hargreaves who was born in Canada. They typically sign multiple contracts for their services. One contract pays the player for matches in Britain. They have another, more valuable contract for their 'global image rights' which covers the money earned by the club to sell their merchandise and television rights. A third contract pays for any foreign appearances. British tax is typically paid only for money earned on the first contract with money earned on the other contracts paid tax free to an offshore tax haven. The tax breaks have attracted some of the world's best footballers to Britain, but that reduces the chances for British born players to progress.
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