Official: Barcelona to appeal ruling after being hit with €23 million fine for tax irregularities between 2012-15

Earlier today, the Administrative Chamber of the National High Court ratified the decision of the Central Economic Administrative Court (TEAC) that imposed on Barcelona the payment of almost €23 million for personal income tax between 2012 and 2015, derived from the remuneration paid to sports agents.

The ruling holds that the remuneration paid by Barcelona to players’ agents, given that they provide their services to the players and not to the club, is in the nature of earned income.

And, as such, it is subject to tax deduction at the time of payment, for which the club is obliged to make up the corresponding tax withholding, AS reported.

Following the emergence of the ruling, Barcelona have released an official statement in which they have confirmed that they plan on appealing the verdict at the Supreme Court.

“FC Barcelona has been informed of the verdict on income tax (IRPF) of the National Court (Audiencia Nacional) regarding the appeal presented by the club with respect to the tax inspection concerning payments made to players’ agents between 2012 and 2015.

“Barcelona shall be presenting an appeal to the Supreme Court (Tribunal Supremo).”

Barcelona also expressed their surprise at the ruling and question the criteria of it, while also clarifying that it does not entail any payment obligation for the club at this point.

“This ruling does not entail any payment obligation for the club at present, this contingency being properly provisioned in the annual accounts,” the statement concluded.