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Monaco, a tax haven that will frustrate Ligue 1 elite – Part two

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Being a sovereign principality indeed has its own advantages especially if it’s called Monaco. Thanks to the International Monetary Fund, Monaco have been identified as a tax haven which means that the club will be able to attract international
players easily
Being a sovereign state and a principality governed under a form of constitutional monarchy with Prince Albert II (head of the Princely House of Grimaldi) as the head of state, Monaco has an advantage over other Ligue 1 clubs.
Only French nationals pay income tax in Monaco. Furthermore, the amount payable is assessed according to the principles of French tax law and is paid directly to the French government. Moreover, Monaco levies no income tax on individuals which is why the
city has become home to a number of tax refugees and has the highest population of billionaires in the word.
Since 2003, the International Monetary Fund has identified the Principality as a tax haven along with 36 other territories.
In short, players arriving at “The Rock”, will not be liable to pay taxes meaning that the club will have no problem in attracting the cream of football talent as soon as it returns to Ligue 1 football.
In sporting and financial context, Monaco will definitely become a bigger beast than PSG, something that worries Ligue http://www.senore.com/Football-soccer/Du-c11689 Football Professionnel president, Frederic Thiriez.
“The question of taxation of players in the Principality will arise again. In this case it is often asked and never answered.”
Able to pay 20 million euros in the winter transfer window without worrying about taxes, AS Monaco will be singled out by many people related to football but it still remains to be seen if the Russian oligarch will be worried about it or not.
“I trust PSG to meet the financial fair play ruling, but the favourable tax treatment of Monaco is a real problem of fairness. All clubs must be subject to the same social status and tax laws,” says Lorient president Loic Fery, who is surely not going to
be the last person who will say this.
Indeed, with most of the Ligue 1 clubs struggling with their own finances, it would be an oddity to see a club that was relegated about two years ago, returning to elite status and fighting for top European football honours with the likes of Paris Saint-Germain,
http://www.senore.com/Football-soccer/Olympique-Lyonnais-c40130, FC Girondins de Bordeaux et al.
A few days back, former http://www.senore.com/Football-soccer/Patrick-Vieira-c29316 said that the arrival of Paris Saint-Germain is a good thing for French football. And indeed, PSG’s arrival has raised the Championnat’s profile in the Old Continent. However,
it still remains to be seen whether the impending return of AS Monaco will have the same effect or not. Will AS Monaco be true representatives of Ligue 1? And will there be a financial imbalance with their arrival?
For now, all those who have been following Ligue 2 should just keep on doing so as Claudio Ranieri’s side blows hot and cold in the standings. Though performances are not consistent, it is only a matter of time when Monegasque club returns to the Championnat
and starts forming a new rivalry with PSG.
Disclaimer: Views and opinions expressed in this article are the writer’s own opinions and in no way represent
http://www.bettor.com%27s/ editorial policies

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