The SPL yesterday released a statement concerning the Employee Benefit Trust payment Celtic made in 2005 to Juninho, in response to what sounded like unfounded allegations made earlier this week.
The league noted, “we have seen reports regarding an EBT in relation to a former player of Celtic FC. The SPL has investigated the arrangements and documentation in that case and has determined that there is no evidence of any breach of SPL Rules”.
Many good employers have understood the benefit of assisting individual members of staff during times of crisis or personal hardship. One very practical way of doing this is to lend them money, which happens in businesses up and down the country every day. When the nature of these transactions involve either a company of sufficient size, a lengthy repayment period, or a high value loan, a formal structure is needed to establish the terms of the transaction, not only for the benefit of employer and employee, but also for the tax authorities – who authorise tax-free payments of this kind.
These tax rules were not established to allow wealthy individuals to escape their social duty.
Not long after Rangers first operated an Employee Benefit Trust Celtic were approached and offered consultancy to establish a similar scheme. The promised benefits were huge, vast quantities of cash would no longer go to HMRC and would be freed up to spend on new players.
Celtic were not convinced.
Loans would need to be repaid and if not, contractually binding transactions would need to be documented in accordance with SPL and SFA rules, and this very documentation would make them liable for tax. For Celtic, EBTs could only be used in limited circumstances, would be unable to deliver a significant impact on the business, and would introduce a further layer of professional costs.
“How can these work?” That was the question. How on earth can a club pay millions of pounds into a Trust none of which is contractual? Players, and their agents, like to have things written down. If you write it down and inform the authorities, you’re taxed on it. Celtic were not prepared to enter any written agreement and not declare it to their auditors, HMRC or the football authorities.
What was the cost of this principled stance?
In season 2004-05 former World Cup winner, Juninho, arrived at Celtic from Middlesbrough on a straightforward contract, his only contract with the club, which was correctly registered with the football authorities. He only lasted eight months before agreeing to terminate his deal. Celtic made a payment of around £750k into an EBT the player had from before his time at the club.
Celtic informed HMRC of the details of their EBT transaction with Juninho and were told this was regarded as income, not a loan, and that they would need to pay tax. Celtic then paid tax due on top of the £750k which went to Juninho. It was a pointless and expensive exercise for Celtic, but they dealt with it honestly and openly.
The club’s understandings of EBTs from five years earlier were confirmed, this was not a way to avoid taxation by filtering part of a player’s income away from PAYE. Board members of any other club which understood how to make this work were clearly a lot smarter than our guys. They were also able to buy players and win leagues while our board were hammered daily for their prudent values.
I bet directors at that other club are sounding pretty contrite now, humbled by the emerging news. There will be no self-serving vainglorious rabble rousing.
Far from Celtic being subject to criticism on this matter, scrutiny of their actions will only reveal the stark cost of following the rules when others don’t.
Congratulations to the campaigners who for 23 years sought Justice for the 96. We all watch the game in a safer environment because of the loss endured by the families bereaved at Hillsborough. Yesterday’s report condemns the actions of many: some senior police officers, sections of the media, one or two of who should never work in the industry again, and a former MP, whose actions were truly appalling, and who remains a knight of the realm, but those running the game, those responsible for Health and Safety standards, and various governments have a responsibility to bear.
Dangerous crushing inside and outside football grounds was a fact of life in the 1980s, including at the Janefield St entrance to Celtic Park.
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Green Oak Tree
11:49 on 14 September, 2012
KevJungle – Murdo..10 men Championees..1979
11:43 on
14 September
Have you a source to prove that to be the case?
__________________________________________________________
Yes but, can’t reveal who. sorry
Although – I would be interested to know if you have a source who can reveal contrary info.
I stopped listening to Talksport
when they let Mike Parry go,
and then employed Keys and Grey,
they are a couple of smug
know alls ,
Talksport has let to many
good presenters leave, for
the sake of tabloid radio.
Just had a quick lurk on FF,some of that deranged mob are actually comparing the Hillsborough disaster to the mayhem they caused in Manchester. They really are thick stupid huns. Off for a quick shower, feelin dirty for some reason
greenjedi
11:50 on 14 September, 2012
Kev
Apologies if I’m getting you mixed up with somebody ewlse, but did you not say you don’t go to games at Celtic Park?
______________________________________________________
Ah, the moving of the goalposts.
Yer right. I DON’T go to Celtic Park as I had to give my SB to my brother.
Although go when I can but, the feeling of financing the robin hoods in reverse still grates.
sunni camlachie
I agree with that,Have you seen porky parry’s YouTube channel?
Mental :)
morning Celts,
superb reading these last few days,clear and concise reporting and with a clarity which can only be dreamed of in the MSM.This type of reporting is going to be more important, as the reporting of the FTT in october and the SPL report in November will have the confused hordes flailing and grasping at anyone to blame,except themselves.
The lack of insight into themselves,shows they are just not well.This we have kown for quite some time.
Hail Hail
.
After 4 days of Not being able to Log in on iPhone..
I can Log in on iPod..
Oohh well..
Summa
Good afternoon from a sun-drenched Sunny Beach, flights booked for Moscow just sourcing a nice Hotel now.
Passed a few angry holidaymakers today on my usual walk down the beach with my 2 dogs, being charged 12 Leva for an expresso coffee EACH !
Thought about joining in and telling them that it’s normally 1 Lev for a expresso, but they looked to be enjoying themselves.-))))
sonofdan….
11:46 on
14 September, 2012
The Singing Detective Demands The
Resignation Of Campbell Ogilvie
OUTRAGEOUS?
Between the two of us, who works in
the Civil Service and would know if it
was outrageous or not?
~~~~~~~~
The point that I made originally….
As You Well Know….
Was That Of ALL The Ethnic Groups Living In Our Enchanted Sceptred Isles….
You Chose To Single Out The Poles And Slovaks For Criticism….
On What Basis ?
Are We Comparing Their Contribution To Britain With That Of Other Ethnic Communities..?
And What Are The Exact Parameters You Are Using To Judge The Contributions Of The Various Communities Of Our Island Nation…?
Thanks In Advance..
thomthethim
11:48 on 14 September, 2012
____________________________________________
Sumdys got their knickers on back to front here.
Well, I know it ain’t me.
************
sorry, you’ve lost me there.
Explain please, and keep it simple, as I am a simple man.
_____________________________________________________
I apologise for the delay M8
but I thought it was Christmas with all these reply’s.
Not bad for a hun-troll eh ?
Anyway…you say we are one but, nah, I’m afraid we’ll never
be one as long as we’re run by a – balance-sheet hierarchy. imo
Not one Celtic supporter on the board since – Willie Haughey imo.
But hey – what would a hun-troll like me know ?
Hail Hail
I’m going to a dinner in East Kilbride tonight for EKFC.
The guest speakers are John ‘Johnny’ Hartson and John ‘Bomber’ Brown.
Should I ask him if he has seen ‘ra deeds’ ??
Kev, how do you know there’s no supporters on the board.
Bma
John Anthony
Just caught your post on page 15.
No problem, hope you get to see the game.
I managed to get my Coatbridge exile, tickets for Barca and Moscow, so all’s well.
HH
EC67
Richie-Bomber will be the one with subtitles coming up on his shirt.
This meaningless unfounded whataboutery over 1 of our ex-players is frantic weeping last minute desperation before their minds are terminally ripped asunder because of their dozens of illegally paid and registered blooterers and the malevolent mismanagement of their satanic organisation which has rebounded on them big time, Dennis Wheatly style.
The Devil Rides Out? Nah. He just limps away, leaving the wee demon Moisty to wail, weep and gnash his gums in fat desperation while the flames of justice lick at his brown brogues and the stench of unwashed orcs fills the wasteland of iPox as it crumbles into vampiric dust.
Peace in the valley. The silencing of the bams.
Indeedy.
KevJungle – Murdo..10 men Championees..1979
11:52 on
14 September
Although – I would be interested to know if you have a source who can reveal contrary info.
/////////////////////////////////////////////////////////////////////////////////////
Nope no source who can reveal contrary info…
Until I get a quote from Celtic I will reserve judgement ….
Bobby Murdochs Ankle
12:06 on 14 September, 2012
Kev, how do you know there’s no supporters on the board.
Bma
______________________________________________________
Anybody can provide soundbites and say – “Im a Celtic supporter.”
The principal shareholder of the club didny start supporting us till 1994.
But, his salt really shines through when – he canny even be bothered to come to an AGM.
Celtic will say nothing.
Just like they said nothing about – McLean and Nevin.
AsonofDan
They miss the point completely.
The reason they are in the dock with the SPL is nothing to do with payments being made, it is how they were recorded, what went to the bodies that run the game and what went to the players on the side.
If the commission have different sets of documentation regarding oldco and players who played for oldco then that is their case to answer,
If 60 odd players received secondary payments outside their initial contracts and played matches while receiving 2 forms of payment simultaneously that is why they cheated and that is why they have an issue.
If Juninho got paid after he left or even after his contract was cancelled he could not have been on the park to break the SPL rules whereas before he was paid in the regular manner and so Celtic really do have no case to answer.
1 player who got a legal payment versus 60 odd players who got a contract plus a top up.
It isn’t rocket science and even if Celtic had done what they did it wouldn’t put Celtic into liquidation or make us newco and start from the bottom tier. This is straw clutching at an unprecedented level.
Green Oak Tree – sorry typo @12:10
12:07 on 14 September, 2012
KevJungle – Murdo..10 men Championees..1979
11:52 on
_____________________________________________________________________
Celtic will say nothing.
Just like they said nothing about – McLean and Nevin.
Why is the date he started supportin us have anything to do with it, and how do you know he couldn’t be bothered to come to the AGM, are you a member of the board?
Bma
.
STD..
You seem to Know Everything aboot Everything..
You Remind me of someone l met Years and Years ago.. Could Not believe How much this Dude Knew about Everything ..
I miss My Mate Google @ Times..;0)
Summa of GooglingCSC
THE MUD-SLINGING DECEPTIVE 1130
Apart from the like of PHILVISRETURNS and KOJO,whom you so much admire and aspire to,is there anyone else on here you wish to avoid insulting?
Just offer up a list and anyone not on it can scroll past.
It will save us a lot of time,trust me.
Would somebody let hun media know that Juninho’s contract was fully registered inc ebt with no side letter and tax paid?
It’s beyond embarrassing now.
Kev
Are you suggesting that PL isn’t a Celtic supporter?
richie
Can you ask John what it was like to play for a football club like Celtic.
and
ask Scum Bomber Brown what it was like to play for a Stadium.
Thanks
MWD
PS. KevJungle. Is Spew Heevins your dad or a family member?
Are they dead yet ?
Bobby Murdochs Ankle
12:12 on 14 September, 2012
Why is the date he started supportin us have anything to do with it, and how do you know he couldn’t be bothered to come to the AGM, are you a member of the board?
Bma
__________________________________________
No I’m not a member of the board or I widny be on here
I’d be away spending all the money good fholk like you give to the club
Well, there must be plenty to spend eh ?
Because we’ll certainly no see it being put on the park.
hamiltontim
12:13 on 14 September, 2012
Kev
Are you suggesting that PL isn’t a Celtic supporter?
___________________________________________________________________
Naw he isny a supporter.
Well, I’ve never seen him standing in the Jungle.
Have you ?
Awe_Naw_No_Annoni_Oan_Anaw_Noo, 12:17 on
They died a long, a long, long time ago
Moonbeams WD. Kano 1000 \o/ Supporting Neil Lennon 100%. Champions. C’mon Wee Oscar.
12:15 on 14 September, 2012
PS.” KevJungle. Is Spew Heevins your dad or a family member?”
_________________________________________________
Canny say.
Sorry
Hail Hail
Awe_Naw_No_Annoni_Oan_Anaw_Noo
12:17 on 14 September, 2012
Are they dead yet ?
_____________________________________________________________________
Do you think that the hun will officially be allowed to die in – Hun/Scotland ?
KevJungle
If he is a family member I truly pity you. But hey! Yae can pick your friends…
Sadly most families have a token master debator.
MWD
O.G
Until BDO sign a document I dont believe that to be true.
Same SFA = Same old Same Old
October now. No reason for the delay given and nobody prepared to ask.
Chuck Green at the ECA last week giving financial assurances ????
Still a long way to go me thinks.
HH
Moonbeams WD. Kano 1000 \o/ Supporting Neil Lennon 100%. Champions. C’mon Wee Oscar.
12:23 on 14 September, 2012
___________________________________________
Aye, whatever :o)
No Taking The Bait – CSC
How much fun is it going to be in a few years time reminding them we have more titles and European Cup?
I remember the advert on Setanta during their match day programme where different sets of fans were in pubs telling the camera of their clubs greatest achievement,wouldn’t it be fun to see an updated version in a few years?
**FOR THE GOLFING TYPES***
Guys i’m looking to purchase a gift voucher for a golfing friends 30th birthday and was looking to see if anyone would have any ideas where would be worth looking at? He plays off 12 but i have NO idea about decent courses etc and figured theres no better place to ask than on CQN!
We are looking to spend around £70 but could maybe go a little higher if necessary.
Hail Hail
Gogo
Kev
I’ve never seen you standing in the jungle either does that mean you’re not a Celtic supporter?