Carlo Ancelotti could face up to 5 years in prison in Spain after Madrid prosecutors accused the Real Madrid coach of tax evasion to the tune of more than 1 million euros, reports Marca.
The Italian coach allegedly failed to pay the necessary taxes during his first term in charge of the Madrid club between 2013 and 2015, despite being registered as a tax resident in Spain.
Ancelotti allegedly declared his salary income at Real Madrid, but is accused of omitting the money earned from his image rights, transferring the sum to other entities.
The former Chelsea and AC Milan player was charged with two crimes against the Spanish public treasury by the Madrid provincial prosecutor. A prison sentence of four years and nine months was sought if Ancelotti was found guilty.
However, if the sentence was reduced to less than two years by the judge presiding over the case, Ancelotti could still serve a suspended sentence as he is a first-time offender for a financial crime.
The total sum in question comes from the 2014 and 2015 financial years, the first year seeing Ancelotti fail to declare €39,575 and the second €675,718.
The official prosecutor’s statement accompanying the announcement of the charges alleges that the 64-year-old technician set up a “complex” and “confusing” network of trusts and companies that allowed money earned from his rights to ‘image is domiciled outside Spain.
According to prosecutors, Ancelotti “ continued the opacity towards the Spanish Public Treasury and the concealment of the true beneficiary of his income from his image rights, so that neither he himself, nor any of these companies, would have to pay taxes on the significant sums received in Spain or outside the country”.
