Is it true

[El Nino]

that from next year onwards the tax on players' wages will increase to 50%? I believe it is currently 25%?

If it is true I think it will be terrible for English football as players can earn much more in other leagues e.g. Ronaldo who will be payed enormous wages after taxes.

 

[SaintGeorge67]

It went from 40% to 50% in April methinks.

 

[rubans]

I believe it's 45% from 50% from the new tax laws bought in by the government.

 

[Squiggles]

Anyone who earns a significant amount will have to pay 50p per pound for anything earned over £100,000 a year, I think.

I don't think it'll lead to complete abandonment of the Premiership - like it has in Rugby - but it is likely to push up wage bills if clubs want to continue attracting the worlds best footballers.

 

[Mors]

[quote author=El Nino link=topic=34224.msg890484#msg890484 date=1245315780]
that from next year onwards the tax on players' wages will increase to 50%? I believe it is currently 25%?

If it is true I think it will be terrible for English football as players can earn much more in other leagues e.g. Ronaldo who will be payed enormous wages after taxes.
[/quote]

It's nothing serious, their tax is going from 45% -> 50%

So a player on 100k a week like Gerrard is going to take home roughly £2.6mill a year instead of £2.86mill

Hardly going to break the bank

 

[Richey]

[quote author=Squiggles link=topic=34224.msg890507#msg890507 date=1245316813]
Anyone who earns a significant amount will have to pay 50p per pound for anything earned over £100,000 a year, I think.

I don't think it'll lead to complete abandonment of the Premiership - like it has in Rugby - but it is likely to push up wage bills if clubs want to continue attracting the worlds best footballers.
[/quote]

It will cause a problem for clubs. I wonder if there is much scope though for paying part of their wage package in other ways though (cars, houses etc)

 

[Squiggles]

Well we've already heard Arshavin demonstrate his anger at the new tax laws so you're right, player's won't be happy. Like you say though, clubs will probably find a way around it.

Chelsea and City will be immune from it for obvious reasons and if anything, it may help them attract the bigger players; especially City.

 

[El Nino]

[quote author=Mors link=topic=34224.msg890519#msg890519 date=1245317253]
[quote author=El Nino link=topic=34224.msg890484#msg890484 date=1245315780]
that from next year onwards the tax on players' wages will increase to 50%? I believe it is currently 25%?

If it is true I think it will be terrible for English football as players can earn much more in other leagues e.g. Ronaldo who will be payed enormous wages after taxes.
[/quote]

It's nothing serious, their tax is going from 45% -> 50%

So a player on 100k a week like Gerrard is going to take home roughly £2.6mill a year instead of £2.86mill

Hardly going to break the bank
[/quote]

Yes but if he was earning 100k a week in Spain for example he would be earning more money after taxes. I can see this being a big factor for players considering moving to the English Premiership.

 

[Mors]

[quote author=El Nino link=topic=34224.msg890536#msg890536 date=1245318358]
[quote author=Mors link=topic=34224.msg890519#msg890519 date=1245317253]
[quote author=El Nino link=topic=34224.msg890484#msg890484 date=1245315780]
that from next year onwards the tax on players' wages will increase to 50%? I believe it is currently 25%?

If it is true I think it will be terrible for English football as players can earn much more in other leagues e.g. Ronaldo who will be payed enormous wages after taxes.
[/quote]

It's nothing serious, their tax is going from 45% -> 50%

So a player on 100k a week like Gerrard is going to take home roughly £2.6mill a year instead of £2.86mill

Hardly going to break the bank
[/quote]

Yes but if he was earning 100k a week in Spain for example he would be earning more money after taxes. I can see this being a big factor for players considering moving to the English Premiership.
[/quote]

Not really seeing as we already have boatloads of big earners over here, and players that want to come here. An extra 5% on the existing isn't going to put anyone off, and all players will do is negotiate an extra 5% on their contracts.

Can you see Stevie losing sleep over the 2.86->2.6 ?

It's all relative anyway, players wages before tax over here might be a lot larger than in Spain as to offset it, but also you have to incorporate things like image rights and sponsorship etc playing for bigger better teams over here. Also, there's only really 2 teams worth playing for from a cash point of view in Spain, whereas there's plenty of teams offering big bucks over here.

 

[rage]

these things happen in waves, maybe not yet but the premiership is on the decline whilst we see la liga take the centre spot.

spain is warmer, far better tax system, national team one of the best in the world, etc and now their league is once again getting stronger it'll get harder to attract the worlds best talent to the english league.

regarding tax isn't the equivalent in spain something like 1/2 what it is here?

 

[Mors]

[quote author=rage link=topic=34224.msg890558#msg890558 date=1245319783]
these things happen in waves, maybe not yet but the premiership is on the decline whilst we see la liga take the centre spot.

spain is warmer, far better tax system, national team one of the best in the world, etc and now their league is once again getting stronger it'll get harder to attract the worlds best talent to the english league.

regarding tax isn't the equivalent in spain something like 1/2 what it is here?
[/quote]

Spain have a tax rate of roughly 25% (so yeh, about half ours) for high earners. It doesn't follow their normal tax guidelines but they did it to attract high earners to the country.

But there's not many clubs in La Liga paying silly wages compared to over here.