More footballers than ever are being targeted in tax investigations into image rights deals.
An incredible 246 players are now under investigation according to a new report which says the figure has trebled from last year.
HMRC have put image rights packages under the spotlight because they are used to boost multi-million pound player contracts, with the extra earnings taxed at a lower rate.
Big name stars often set up companies to run their image right deals, which are taxed at the 19 per cent corporation tax rate rather than the 45 per cent high-earner income tax rate.
The report, by UK chartered surveyors UHY Hacker Young, says the number of players under investigation has risen.
Elliot Buss, partner at UHY Hacker Young said: “HMRC believes that lots of lesser-known footballers are avoiding tax by getting paid huge sums for image rights that are overpriced.
“The image rights of the likes of Paul Pogba and Mohamed Salah are undoubtedly worth millions.
“But if you are second-choice left back in the Championship getting paid a great deal in image rights payments, that is likely to trigger an investigation.
“You may have to make a robust argument to HMRC to show how the value of the image rights has been arrived at.
“Despite having a very substantial income, many young footballers don’t get the advice they need when it comes to tax.
“Often they don’t realise they need to pay tax on the fees that the club pays the agent on behalf of the player when they sign a new contract.”
