Newcastle United are the latest football club to settle a dispute over image rights with the tax authorities. The settlement covers all outstanding disputes with Revenue and Customs, it is believed. The sum involved has not been revealed but it is thought to be less than the amount set aside as a contingency in the accounts.
Newcastle United are the latest football club to settle a dispute over image rights with the tax authorities. The settlement covers all outstanding disputes with Revenue and Customs, it is believed. The sum involved has not been revealed but it is thought to be less than the amount set aside as a contingency in the accounts.
By labelling payments image rights rather than salaries they can be paid to companies, often offshore, and attract corporation tax at 26pc rather than higher rate income tax at 50pc. Although only Chelsea and Newcastle have released information on settlements with HMRC, most Premiership clubs are understood to have come to agreements covering past liabilities and future treatment of payments.
The club will be releasing its financial results later in the week.