More economic problems for FC Barcelona. In the midst of the financial crisis due to the coronavirus hit, the Treasury has imposed a millionaire penalty to the Blaugrana entity.
The Central Delegation of Large Taxpayers of the Tax Agency claims almost nine million euros in withholdings for income from work / professional (January 2012-June 2015) not paid, to which adds a fine of another 14 million euros for this question: 23 million euros total.
This sanction was ratified by the Central Administrative Economic Court just before the summer, but the football club appealed to the National Court to have the payment suspended. The Catalan team has managed to get the contentious-administrative chamber of the high court to postpone this disbursement after alleging the damages and “its difficult repair” of the immediate payment of the same.
In order to defer the payment of taxes and achieve oxygen thanks to this precautionary measure, FC Barcelona highlights before the magistrates “the exceptional situation of the covid-19 pandemic, which has generated a substantial reduction in your income, by carrying out its activity in one of the sectors most affected by the economic crisis derived from the health crisis (public entertainment), which justifies, in its opinion, the adoption of exceptional measures “.
On the one hand, Barça alludes to the decrease in the market value of your players: “Covid-19 has not only affected the club’s income and expenses, but has also temporarily devalued your most precious intangible, that is, the value of its staff “, reads the judicial order consulted by El Confidencial.
“The compromised situation of the treasury and the refusal of various financial institutions to grant it a guarantee do not preclude providing a guarantee”
On the other hand, the team that today leads a management committee after the resignation of its former president, Josep Maria Bartomeu, highlights that the “significant decrease in its income has been reflected in the financial situation of the FCB”, and adds: “The decrease of the income and substantial maintenance of the FCB operating expenses [más de 16 millones de euros mensuales de media en el último semestre] have resulted in a pressing decrease in your result, which would prevent it from facing the amounts derived from the settlement and sanctioning agreements “.
For all the foregoing, the court that judges the case understands this precautionary measure to be appropriate, which was opposed by the State Bar. However, the magistrates do not grant him partial dispensation from guarantee that Barça also asked for. “The compromised situation of the club’s treasury, as well as the refusal of various financial entities to grant you a guarantee, it does not exclude the provision of a guarantee in any other of the forms admitted by law to respond, where appropriate, to the amount of the penalty “, explains the National Court.
Crisis at all levels
FC Barcelona is experiencing one of the worst crises in its history. To the economic problems must be added its difficult institutional situation (without a board in the absence of elections) and the bad sporting moment that the club is experiencing, twelfth in La Liga after only one victory in the last six games and with its franchise player, Lionel Messi, increasingly disenchanted.
As this media has advanced, the club barely has 30 million of its own funds to face its complicated day-to-day life, which places it increasingly close to bankruptcy (former suspension of payments). Against this background, the interim board led by Carles Tusquets He is trying to agree to a salary cut with his staff of 190 million euros, which would allow him to stay alive. Hence, the sanction imposed by the Treasury comes at the worst moment for the club, whose current financial crisis considers “conjunctural and exceptional”.
Barça only has 30 million to avoid bankruptcy
For this reason, Carles Tusquets, the current president of the management committee that presides over the club after the resignation of Josep Maria Bartomeu, has asked the players for a salary cut of close to 40%
This is not the first time that the club or its stars have had problems with the treasury. One of the tax controversies that persecute him comes from the tax treatment of agents and intermediaries who participate in the signings of footballers.
The Treasury detected that these agents billed the club for services rendered in the multimillion dollar transactions of football stars. However, since 2015, the Treasury has applied a criterion in which it understands that intermediaries do not provide these services to the club but to the player in question whom they represent.
This differentiation means that the agent’s fees have to be paid by the footballer, so if he wants to pass them on to the team, he has to do so by raising his income and later liquidating the services with the representative. TO tax effects, this represents a substantial change, since it goes from the agent billing the club with 21% VAT to the footballer paying a marginal rate of 52%.