Tax On Footballers Salaries: Tax Rates In Top 5 European Leagues (Breakdown)

The football leagues and endorsements deals have provided a great way to the footballers to earn more revenue. Besides the Internationals, players are part of different country leagues where they earn more money. Also they receive sponsorships that make it worth for them to increase their bank. However, the respective countries have a tax system that cause a deduction in their earnings. Football leagues mostly belong to the European countries which have strong and solid wages policy. How much is the tax on footballers salaries in European Countries? Here we have complete details on tax information of the footballers playing in European Leagues.

Why There Is A Tax On Footballers Salaries In European Countries

Football is one of the most improvising and fast growing industry. In Europe, it is now a crucial part of country’s economy as this sport holds the 40% TV coverage rights around the globe. Moreover, the demand of live events and more and more leagues make football a kind of business tycoon. The globalization, media coverage and the technology has spread it to each and every corner of the planet.

Consequently, more people have started following this prestigious game. The revenue also increased in previous few years. European Countries are holding major football leagues currently, that has increased the economical strength of respective countries. The tax deduction is also a part of this strategy.

Tax System In European Countries

The tax system in European countries is almost having the same basis. Footballers have to pay the tax on their earnings however the rates are different. Some of the tax details are following. All the major countries and leagues follow the same process of tax payments like Germany, France, England, Italy, and Spain.

Tax On National League | The players have to pay the tax if they are a part of their national league. The tax rates vary for different countries and leagues. However, they have to pay tax to the management that becomes a part of country’s economy later on. France has the highest tax rate that is up to 50%.

Tax On Foreign Leagues | If a player is a part of any foreign league and spent a fixed time there playing the league, he also have to pay the tax to that country’s management. Again the percentage vary, however, the details will remain same for them. This tax will only be in the case if the footballer has spent a specific time in that country. Such as if a Spanish or English footballer has spent 183+ days in Italy for playing Serie A, he has to pay 23% of his earnings to the Italian government.

Tax On Foreign Leagues Earnings | The point must not get confused with the above one as the players have to pay this tax to their respective countries after earning from the foreign leagues.

Other Taxes | There are a lot of taxes besides these income taxes as the footballers have to pay capital taxes, business taxes, residence taxes. However, these are not so much worthy as income taxes are.

French League 1

  • French Footballers | 45%
  • Footballers Average Wage | €2.3 Million

The players who are a part of French League 1 have to pay the tax based on different criterions. French resident footballers have to pay the tax up to 50% on their salaries earned in the league. Moreover, they have to pay 20% tax on the earnings earned from the other leagues.

French League 1 has reduced their tax rate for attracting foreign players to be a part of this league. Neymar, Radamel Falcao, Memphis Depay are a part of French League. These players have to pay just 30% of the whole earnings, they earn per season.

Italian Serie A

  • Italian Footballers | 43%
  • Footballers Average Wage | €4 Million

The tax payment system of all European countries is almost same however the rates are the factors that differ from one another. Moreover, the earnings of the footballers are also a crucial factor that determines what amount the footballers have to pay in term of their tax.

The Italian footballers who go to take part in the foreign league pay 25% of their earnings. While when they became a part of their national league Italian Serie A, the tax rate reduced to 43%. Foreign players pay 23% of their Serie A earnings to the Italian management.

Spanish La Liga

  • Spanish Footballers | 47%
  • Footballers Average Wage | €4.5 Million

La Liga is one of the greatest football tournament. In past, many renowned footballers remained a part of this league like Ronaldo, Messi etc. Spain also holds a solid wage system as well as tax system on the footballers. Players who are resident of Spain have to pay up to 47% of their earnings from La Liga as a tax.

While the foreign footballers get relaxation and have to pay just 24% of their income from Spanish league. Moreover, if the Spanish resident footballers go to play in other leagues, he has to pay 15% of his earnings.

German Bundesliga

  • German Footballers | 47%
  • Footballers Average Wage | €2 Million

German Bundesliga belongs to Germany and is holding a good position in football world. People from the whole globe are following this wonderful league. German footballers charged with 45% tax rate on their salaries from German Bundesliga.

While the foreigners have to pay flat 25% of their earnings from the league. A player can earn average €2 Million from this league while the highest salaries are of the players of Bayern Munich who earn more than €8 Million for a season.

English Premier League

  • English Footballers | 45%
  • Footballers Average Wage | €5 Million

English Premier League is on the top if talking about the fan following. Although the tax is also there for the footballers, yet the players also love it to be a part of this grand league. The English Premier League makes it lucrative for the foreign players after reducing the tax rate on their earnings from the league up to 20%. English residents have to pay 45% of their earnings as a tax. That’s why EPL is considered best in terms of tax. The average salary a player can earn is €5 Million. Whereas Ronaldo is pocketing €25 Million+ for a season.

How Footballers Avoid Tax?

The footballers avoid paying large amounts as a tax by making contracts with the clubs that reduce their tax rates to a great extent. Moreover, they buy properties outside their countries. Thus, they have to pay less tax. Same is the way of TV image rights. They sell the rights to foreign broadcaster for avoiding heavy dues.

Countries/LeaguesTax RateAverage Player’s Salary
French League 150%€2.3 Million
Italian Serie A43%€4 Million
Spanish La Liga47%€4.5 Million
German Bundesliga47%€2 Million
English Premier League45%€5 Million

Final Verdict

It is not easy to decide which European country has more tax on the footballers. The reason is the same infrastructure behind the tax system. However, footballers from European countries have to pay a great amount in terms of tax to their respective countries. The tax amount differs on the basis of earnings of footballers. A player having greater income also has to suffer from more tax. If there is any change in the details, we will update them here.