Why Ronaldinho plays for Barcelona

Simon SweetmanSimon Sweetman looks at a tax story in the national press and wonders if they know what a sanity check is

There it was last week, splashed about the newspapers. The Premiership is missing out on top foreign players because they have to pay far too much tax in the UK. Name checks followed for Ronaldinho and Luis Figo, apparently prevented from coming to the UK by 'draconian' tax rules. This was based on a report from Roy Saunders, reported in the Guardian.

Continued...

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Comments

And it was qualified...

Anonymous | | Permalink

I did say that it was in Planet Football not the real world.

All of the constiuent parts of the United Kingdom are individual members of both UEFA & FIFA!

Why don't people read things properly before they try to pick holes?

I think what he meant was...

IanRiley | | Permalink

that England has it's own National football team.

England is not a country

Anonymous | | Permalink

Have you ever seen an English passport?
Do England enter the Olympics?
Is England on the UN Security Council?
Is there an English parliament?
Why are Welsh and Scottish MPs at Westminster?
Is the English Army in Iraq?
Is England a member of NATO?

Your meaning is not clear

AnonymousUser | | Permalink

QUOTE: Don't you love a pedant.

Is this post meant to be a question? If so then it should end in a question mark, rather than a full stop. As it stands it appears to be an exhortation.

dahowlett's picture

Yes

dahowlett | | Permalink

Yes

Get it right

AnonymousUser | | Permalink

QUOTE: In the real world – well, planet football – top players are looking at one of three countries these days, because outside Spain, Italy and England the money is not so big.

In the real world England is not a country; it is part of the UK.

Pedants

Anonymous | | Permalink

Don't you love a pedant?

Corrected. Thank you Mr Rees.

dahowlett's picture

As an ex-pat...

dahowlett | | Permalink

I speak with some authority on this having been taxed in the UK, US, France and now Spain.

The headline tax rates have very little to do with this because as Simon quite rightly points out, there are plenty of ways to mitigate UK, especially if you're non-domiciled.

As someone who has 'gone the other way' I took my initial decision to move to France, not for fiscal reasons, but for quality of life. Where else could we have bought a 19th century farm with several acres of woodland, river frontage, 5 bedrooms...you get the picture - for less than the cost of an ex-council house in Bradford?

The headline French tax rates are lower for a couple earning up to around €75K. If you have 3 or more children and earn average wages then your tax bill in miniscule.

But...if you're self employed then French social security costs are eye watering - think 20ish% from the get go. For employers, double it and then some. For that reason, the French fisc believes up to 30% of all SE income is 'black.' The system is inefficient, but if you are dropped on by the 'fisc' expect any cash, jewelry and bank accounts to be sequestered. Before you get to state your case.

But if you fall ill, the French health system kicks in and you get what in the UK would be considered star treatment.

In both France and Spain, the minimum socsec costs are around €200 per month, regardless of income. And like the UK, there is a sophisticated systems of stealth taxes.

In Spain, the direct tax system is chaotic. So they get you on house transfers and 'annual wealth taxes' that are calculated on total asset valuations. As you might expect, evasion thrives and local officials are part of the collusion. Although 'Hacienda' is stamping out the more overt abuses.

None of that gets reported in the national UK or overseas press. Misreporting is nothing new.

What do we get for our money? One of the best climates on the planet. A low cost of living compared with the UK - think night out, meal for 2 in a good restaurant including wine €40 max. If you're strapped for cash €20. Health and education systems that work and relatively low crime rates.

Having lived abroad for more than 8 years - I ain't never coming back. Not for tax reasons but because both France and Spain provide a quality of life that are far superior to anything we could have in the UK. Manoevuring around the tax system is a price I am prepared to pay for the privilege.

The best part is it allows me a different lens on what happens in the UK.

For those interested in living the ex-pat life, I've written a short explanation of essential info you won't find on any French living website. I have a plan for a website called either the Costa Packet or Costa Ripoff. No decision yet.

In Planet Football....

Anonymous | | Permalink

..... England is a country.

Hyphen

mikewhit | | Permalink

I presume Mr. Howlett is an "expat" (expatriate, 'living in a foreign land '), rather than an "ex-pat" ...?