SPL in £100m tax â??dodgeâ?�

[craig 5,199]

Corporation tax is paid on profits, if the SPL isn't making money then it wouldn't pay CT.

 

Not necessarily. That is a simplistic view as there are various adjustments to profits/losses to determine if a company pays CT. You can actually, technically, make losses and still have CT to pay. Strange as it seems.

 

The SPL is a bank that distributes the money to clubs.

 

The SPL doesnt have a banking licence so, again, you are technically incorrect.

 

The SPL is an entity in its own right - it has shareholders (the clubs) but it operates as its own legal entity - TV contracts etc are with the SPL, not the individual clubs. So the SPL isnt quite as simplistic as a "pass through" vehicle.

 

The SPL is there to try to make the sum greater than the parts. With the current encumbent it does a poor job of that though....

[amms 0]

That's a bit like saying all MPs claimed ridiculous things on their expenses, that's the way things were done, so it's okay. And we know how that turned out.

 

So EPL and the SFL aren't paying corporation tax either then? I wasn't having a dig at you I just wondered if you knew.

 

Actually it's nothing like the MPs expenses story but I understand the point you're trying to make. It's a bit more like a Chamber of Commerce or a trade body like SNIPEF Training where the company structure is limited by guarantee but the 'company' is not there to make a profit but to help its members.

But you are right to point it out, the taxman might well feel multi-million pound TV and sponsorship deals for professional football clubs isn't the same as providing examinations for plumbers.