Post by Dave on Jan 17, 2011 17:23:07 GMT
Well they sure get paid far too much money for kicking a football around those players who earn their living playing in the Premier League. It seems they like earning the money but not paying the income tax due on their high earnings.
Yes so many of those little darlings fall in the 50p top rate of income tax and fifty or more of them have found away around the tax to make savings in their millions.
According to an article in the Sunday Times, these players are making a tax saving of 22% by having a proportion of their salary paid through image rights companies, which are liable to corporation tax at 28% rather than income tax at 50%.
And in some cases, it was claimed that players are paying as little as 2% tax by taking money from the image rights companies as loans, which are classed as benefits in kind.
Payments for image rights can be made to people - often high-profile performers or sports personalities - whose physical appearance and name have a commercial value in their own right.
No one wants to have to pay more tax than necessary, but most of us on PAYE have to pay our full whack and on low incomes, along with all the forms of taxation that ends up taking even more of our hard earned money.
The good news is the tax investigators are cracking down on attempts to avoid the new 50p top rate of income tax by reclassifying salary as payments for "image rights", and let’s hope they are successful and even get to charge some of them for tax evasion.
Yes so many of those little darlings fall in the 50p top rate of income tax and fifty or more of them have found away around the tax to make savings in their millions.
According to an article in the Sunday Times, these players are making a tax saving of 22% by having a proportion of their salary paid through image rights companies, which are liable to corporation tax at 28% rather than income tax at 50%.
And in some cases, it was claimed that players are paying as little as 2% tax by taking money from the image rights companies as loans, which are classed as benefits in kind.
Payments for image rights can be made to people - often high-profile performers or sports personalities - whose physical appearance and name have a commercial value in their own right.
No one wants to have to pay more tax than necessary, but most of us on PAYE have to pay our full whack and on low incomes, along with all the forms of taxation that ends up taking even more of our hard earned money.
The good news is the tax investigators are cracking down on attempts to avoid the new 50p top rate of income tax by reclassifying salary as payments for "image rights", and let’s hope they are successful and even get to charge some of them for tax evasion.