French tax authorities investigate Beckham's decision to pay PSG salary to charity

Published: 2013 February 24 17:13:06 (5630 Views)

France's tax authorities are probing the multi-million pounds deal which brought David Beckham to Paris St Germain.

Jean-Claude Blanc, managing director of the richest club in the world, admitted that a 'formal discussion' was already taking place with France's 'fiscal administration'.

Beckham has strictly limited his contract to five months, kept his family based in London, and said that he will pay his nominal salary to charity.

All of this enables both Beckham and PSG to concentrate on making millions from the player's image rights and other commercial activities, while paying far smaller taxes abroad.

Mr Blanc said that 'we have already received a lot of requests' for Beckham's salary, and that 'we want to cause as little disappointment as possible.'

He also admitted that PSG wanted to keep government charges to a minimum, claiming that 'the largest possible amount' would go to a children's charity.

It was all part of a 'formal discussion that has started with the fiscal authorities', said Mr Blanc, who made his comments about Beckham as he discussed PSG's marketing strategy last week.

It is almost unheard of for the French treasury to start discussing tax obligations with a foreign national so soon after his arrival.

'Beckham: PSG talk to the Inland Revenue,' was the headline in Saturday's Parisien newspaper, and others have already expressed anger at what is going on.

France's Socialist government is introducing a top income tax rate of 75 per cent for multi-millionaires, and many believe Beckham should pay it if he is playing his football in Paris.

French conservative MP Gerald Darmanin mocked Beckham's 'charity' salary, saying: 'He will be paid less than my parliamentary assistant!' Be serious!'

Mr Darmanin added: 'I'd rather receive 50 per cent of a lot than 75 per cent of nothing!'

PSG, and not Beckham, will eventually pay the £700,000 estimated 'wages' direct to a selected charity.

This means Beckham will not become liable for a 1.5 per cent tax on his worldwide income and estimated wealth of £200million – a possible bill of at least £3million.

Both PSG and Beckham are already promoting club shirts, with an adult top featuring the player's name and number costing almost £100.

Beckham and his family were given an escort of 20 policemen and 12 plain clothes security men when they finally arrived in Paris last week, with the player taking up residence in £14,500-a-night hotel suite close to the British Embassy.

Wife Victoria and their three sons and daughter all spent a week in the 3,475 sq ft Imperial Suite at the Bristol Hotel.

Yet Victoria and the children were all pictured returning to London on Friday – meaning they will not be in Paris if Beckham makes an appearance for his new team against arch rivals Marseille in the French capital tonight.

PSG is ultimately bank-rolled by oil rich Qatar, which is due to host the World Cup finals in 2022.

A spokesman for the French Treasury said 'we cannot discuss individual cases', but confirmed that all 'high-worth' individuals working in France would be 'scrutinised'.

A spokesman for Beckham said: 'David has given any income he would have earned from PSG to charity. We have nothing to hide.'

- Daily Mail

Tags: DavidBeckham,

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