With the government investing £917m into HMRC to investigate high wage earners and their tax payments, it might be time to weigh up your options when looking to appoint Sports Agents.

HM Revenue is investigating whether clubs paying for agent fees on behalf of players is a ‘benefit in kind’. A ‘benefit in kind’ is a benefit given to the employee over and above their wage, for example a company car. Is the club payment of agents fees on behalf of players a ‘benefit in kind’? HMRC  is certainly beginning to think so.

This would potentially have significant tax implications for players, as the.  tax would be borne by individual players. When you consider the millions of pounds paid out to agents every year by clubs, it is clear to see why players should be concerned given the potential negative repercussions on the pay cheque of highly paid sports persons. Is the perk of clubs paying agents becoming a disadvantage?

Using a  specialist sports solicitor is another avenue that all sports professionals can choose when dealing with contract negotiations. Our Sports Law team here at JCP Solicitors on all contractual issues, including contract negotiations and representations, and also deal with a vast number of other issues ranging from administrative issues, commercial agreements, employment law, merchandising, and even hospitality and events.

We always give our clients all the information they need to make an informed decision regarding their best options.

For more information on how the sports law team can help, contact me, Robert James on 01792 773 773 or email robert.james@jcpsolicitors.co.uk