UK MPs Urge HMRC to Scrutinise Manchester City Tax Affairs After Premier League Ruling

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The chair of a cross-party group of British MPs has urged His Majesty’s Revenue and Customs (HMRC) to examine findings from the Premier League’s financial case against Manchester City following an independent commission’s ruling against the club.

The commission found Manchester City guilty of charges relating to breaches of Premier League financial regulations between the 2009-10 and 2017-18 seasons.

Manchester City have consistently denied wrongdoing and indicated their intention to appeal the decision.

According to the commission’s findings, the club artificially inflated revenue through sponsorship arrangements described in the ruling as “sham” agreements involving its owners.

The commission also found that City used mechanisms to conceal the true extent of certain club liabilities.

The findings have prompted the Treasury Committee, which scrutinises the policies and administration of HMRC, to seek clarification on whether the tax authority has requested access to redacted documents contained in the commission’s report.

Treasury Committee Chair Dame Meg Hillier said she wanted reassurance that HMRC recognised the significance of the issues raised and the wider public interest surrounding the case.

The intervention follows a report by Tax Policy Associates alleging that Manchester City may have failed to pay up to £12 million in tax linked to a contract involving former manager Roberto Mancini.

The report claimed the alleged liabilities involved unpaid income tax and National Insurance contributions. It further suggested that potential penalties could increase the amount involved to about £24 million.

The figures are allegations contained in the Tax Policy Associates report and have not been established as tax liabilities by HMRC.

Manchester City’s planned appeal means the Premier League proceedings remain subject to further legal and regulatory processes.

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