Falcao pays €8.2m to Spanish taxman

Photo: Facebook AS Monaco
Photo: Facebook AS Monaco

Monaco’s striker Radamel Falcao has paid €8.2 million to tax authorities in Spain as a caution as an investigation into alleged tax evasion continues, according to several news outlets.

Falcao, 31, has been accused of defrauding the Spanish taxman of €7.4 million by using several shell companies in the British Virgin Islands, Ireland, Colombia and Panama to avoid taxes on income from image rights.

The total sum, which includes interest, relates to Falcao’s time at Atletico Madrid between 2011 and 2013. Falcao has said he was resident in Monaco from May 2013, when he joined AS Monaco.

The Spanish authorities have claimed that Falcao constructed an opaque system “with the sole aim of hiding from the Spanish taxman”.

Falcao’s agent, Jorge Mendes, who has not been accused of any wrongdoing, has dismissed claims that he helped handle Falcao’s tax affairs.

“In the statement made by Jorge Mendes before the judge, he clarified that his activity as sports agent, when representing players, is limited solely to representing them in their negotiations with the clubs to determine the salary terms of their contracts,” according to a statement from Mendes’ agency.

“Neither he nor his employees have ever intervened in the creation of corporate structures for his clients and much less provided any tax advice to them.”

The same judge is also overseeing the case in which Cristiano Ronaldo, another of Mendes’ clients, is accused of hiding €14.7 million from the taxman. The Real Madrid player is due to appear in court over the matter on July 31.

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