The Tax Department is not going to turn a blind eye to thenon-compliance of football clubs/companies with their tax obligations, said the Commissioner of Taxation, Sotiris Markidis.
Last Monday, the Tax Commissioner attended the meeting of the KOP, which was attended by representatives of football teams, clarifying that the Department is not going to make discounts on the tax debt repayment plan.
The Superintendent did not hide his annoyance because clubs/companies, as soon as they got the green light last May from the CFA and specifically the certificate that they meet the UEFA criteria to participate normally in the Cypriot championship and European competitions, created new tax debts.
Mr. Markidis called on the leaderships of APOEL, Anorthosis, Apollon and AEL to pay off the new debts they created in the Tax and which concern VAT and income tax, amounting to €1 million. The deadline expires on August 20, with the Registrar making it clear to them that he is not going to give any extension to the payment of debts.
Ready to implement the measures
He also reiterated that if the four teams do not comply, then he will activate the collection measures of the Tax Department. According to the Registrar, the first measure that will be implemented is the freezing of the bank accounts of the specific clubs/companies.
In this case, these teams could enter into adventures, as they will not have cash to complete the roster of their teams. At the same time, he clarified that, if there is still no compliance, he will implement the rest of the measures, which concern the placement of MEMOs in the assets of the unions/companies. It is noted that the collection measures also include the new measure adopted in the context of the tax reform and concerns the sealing of business premises.
They raise money
For their part, the representatives of APOEL, Anorthosis, Apollon and AEL assured that by the 20th of the month they will pay off the new debts. As they said, before the deadline expires, they will have collected the money required by the Tax Department, so that they can be considered tax compliant.
It is worth noting that the specific four clubs, as well as the others participating in the debt repayment plan, pay their monthly instalments normally. According to the plan, if the teams continue to pay the instalments normally, they will pay their tax debts in full in 2037. It is recalled that, in case of non-payment of three instalments, the clubs are immediately removed from the repayment plan.
They are considering inclusion in the overdue plan
At the same time, some of the football companies, out of the 12 that owed social insurance to the Social Insurance Fund, amounting to €9.5 million, are considering the possibility of joining the overdue debt settlement plan. The deadline for submitting applications is September 14. One team is already participating in the project, while another has applied. Some clubs contacted the competent services, asking for additional clarifications on the plan. It is estimated that, after the summer holidays, other clubs will also submit applications.
