SUMMARY
- Soccer stars like Gerard Pique, James Rodriguez, and Lionel Messi faced accusations of tax evasion.
- Despite the controversies, many players opted to settle with tax authorities, paying fines to resolve their cases.
Soccer is one of the most popular sports in the world with around 4 billion fans following it globally. Naturally, due to the enormous popularity and craze for the game, most soccer stars are uberwealthy raking in millions of dollars annually. Not only do the soccer players have lucrative contracts but they also have mouth-watering endorsement deals.
However, it has been noticed that several big soccer players in the recent past have been either accused or found guilty of tax evasion. These soccer stars are often accused of creating shell companies to avoid paying taxes on income generated from their image rights. Although some may argue that it’s a harmless crime, it often sets a wrong example for those who idolize them. Let’s take a look at five of the biggest tax scandals in soccer history.
5. Gerard Pique
The first name on the list is former FC Barcelona and Spanish national team star Gerard Pique. Throughout his career, Pique has built a reputation for being a controversial figure. Back in 2015, Pique got on the radar of the Spanish authorities who accused him of tax evasion. The reports suggested that Pique avoided paying taxes from 2007 to 2010.
However, it’s important to note that Pique was in England playing for Manchester United till 2008 and only moved back to Spain ahead of the 2008-09 season. Moreover, Pique’s charges came at a time when the 2010 World Cup winner was also struggling with his form. Ultimately, Pique was ordered to pay $2.8 million as a fine to the Spanish tax authorities and escaped any conviction.
A judge in Spain has opened a second investigation into alleged tax fraud by Shakira in 2018, as she already awaits trial for alleged tax evasion in 2012, 2013 and 2014. pic.twitter.com/YY4ebT5BTx
— Pop Base (@PopBase) July 20, 2023
Not only Gerard Pique but also his former partner Shakira was also accused of tax evasion by the Spanish authorities. The Colombian singer was accused of not paying taxes from 2012 to 2014. Shakira admitted that she indeed was guilty of not paying $15.8 million in taxes. She received a three-year suspended conviction sentence and was also ordered to pay a fine of $7.6 million.
4. James Rodriguez
Colombian soccer star James Rodriguez comes next on the list of prominent soccer stars who were accused of tax evasion. The Spanish authorities claimed that when Rodriguez signed for Real Madrid in 2014, he was not registered as a Spanish resident. Therefore, Rodriguez was accused of evading taxes on his salary as well as his image rights.
Spanish tax authorities have dropped the allegations of tax fraud against James Rodríguez but are still demanding a subsequent tax payment of over 4 million euros from James [El Mundo] pic.twitter.com/Q1xJicXxX0
— Bayern & Germany (@iMiaSanMia) September 18, 2018
Moreover, Rodriguez was also accused of not paying taxes when he sold his image rights to prominent soccer agent Jorge Mendes, who was also Cristiano Ronaldo’s former agent. However, it was later found out that there were irregularities in the charges leveled against the former Real Madrid star. Ultimately, it was reported by ESPN that as long as the Colombian star paid $4.5 million as a fine, the Spanish authorities would back down.
3. Radamel Falcao
Alongside James Rodriguez, Colombian soccer icon Radamel Falcao also features on this list. Between 2017 and 2018, Falcao was investigated for defrauding the Spanish government of taxes during the former’s stint at Atletico Madrid. Falcao reportedly defrauded around $890,000 in 2012 and $5.2 million in 2013. Falcao allegedly set up shell companies based in the British Virgin Islands, Colombia, Panama, and so on to avoid paying taxes on the income from his image rights.
Radamel #Falcao accepts £8M fine and 16 months suspended jail sentence for tax evasion. pic.twitter.com/u7eCmi2olv
— Football News (@_football_news) May 24, 2018
Despite Falcao’s agent Jorge Mendes arguing that the ex-Monaco star did no wrong, Falcao decided to settle with the Spanish government. The former Atletico Madrid star was ordered to pay $8.8 million along with a fine of $9.7 million to the Spanish tax authorities. Lastly, he was also handed a 16-month jail sentence which he didn’t have to serve.
2. Lionel Messi
While Lionel Messi is used to evading defenders on the pitch, the 2022 World Cup winner failed to evade the watchful eyes of the Spanish government. Back in 2013, Messi was accused of creating shell companies in tax havens to avoid paying taxes from licensing income and royalties. Messi’s income from endorsement deals with companies like Adidas, Pepsi-Cola, and Proctor & Gamble was funneled from offshore accounts based in Uruguay and Belize.
After being charged with tax evasion, Lionel Messi made a $6.5 million payment to clear his tax debt. However, in 2015, the Argentine soccer star was ordered to stand trial. While Messi maintained he had committed no wrongdoing, Jorge, his father and agent, assumed the responsibility. Messi stated that his sole focus remained on his career, while his father took care of the finances.
Former Barcelona assistant and caretaker manager, Jordi Roura, confirmed Dat Tito Vilanova, 6 days before his passing, visited Leo Messi at his house and asked him to never leave Barcelona. It is also been said that Messi had promised Tito to never leave Barca, on his death bed! pic.twitter.com/FRyp3SGS1V
— ❤💙Rock™ (@staconzy16) April 26, 2019
Ultimately, Messi had to pay a total of $20 million back to the Spanish tax authorities. He was also handed a suspended 21-month prison sentence. However, Messi reportedly felt so harassed by the Spanish tax authorities that he even temporarily contemplated leaving FC Barcelona and Spain for good. However, it was only for the late former FC Barcelona coach Tito Vilanova who convinced Messi to stay at the club.
1. Cristiano Ronaldo
While it’s not uncommon for Cristiano Ronaldo to be placed on the top of a list among other soccer stars, the Portuguese soccer icon wouldn’t be very proud to be placed first on this one. At a time when several soccer stars playing in Spain fell prey to the Spanish government, Ronaldo also was accused and charged with tax evasion by the Spanish tax authorities.
Cristiano Ronaldo was accused of not paying taxes from 2010 to 2014 during his stint at Real Madrid. Similar to Messi, Ronaldo also used shell companies based in tax havens to escape paying taxes. The allegations emerged in 2017 and it was cleared by the Al-Nassr star in 2018. Ronaldo was spotted arriving at a Spanish court with his girlfriend Georgina Rodriguez in 2018, shortly after he left Real Madrid for Juventus.
Ronaldo only had to spend 15 minutes in the court as he signed a settlement deal with the Spanish government. The ex-Real Madrid star was accused of defrauding the government of $17.7 million worth of tax.
As a result, the five-time Ballon d’Or winner was ordered to pay a fine of $21.8 million. He was also handed a 23-month prison sentence. However, because of the law in Spain that allows a first-time offender to escape conviction if the sentence is less than two years, Ronaldo’s prison sentence was suspended.