Taxing times ahead
PREMIERSHIP rugby clubs are facing million-pound demands for unpaid tax on players’ image rights after the Inland Revenue launched a major investigation into the sport.
Clubs have traditionally paid its overseas stars image rights payments into offshore accounts as a perk for moving to the United Kingdom.
But the Inland Revenue, who are investigating two clubs but could soon include every top flight club, are unhappy that players are being paid substantial sums of money to offshore tax havens.
“The estimate is that most clubs will be looking at six-fi gure payments but there are a couple who could face seven-figure pay-outs,” said a source.