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Fergie and Sven hit by HMRC victory in tax case

by Daniel Grote on Apr 24, 2012 at 07:50

Fergie and Sven hit by HMRC victory in tax case

Manchester United manager Alex Ferguson and former England boss Sven Goran Eriksson have been hit by a HM Revenue & Customs (HMRC) tribunal victory that will deny wealthy investors £117 million in tax relief.

HMRC has won its case against Eclipse 35, a film investment partnership, barring it from claiming tax relief on a complex £1 billion deal with Disney, according to The Times.

The paper claimed that had the deal succeeded, investors in the scheme, which include Ferguson and Eriksson, could have enjoyed an average of £404,000 in tax relief on an investment of £173,000.

Experts have claimed the ruling could have implications for other film schemes and investments designed to achieve high tax reliefs.

15 comments so far. Why not have your say?

Anitaki

Apr 24, 2012 at 08:39

Invest £173,000 and get tax relief of £404,000?? Only in Brown's socialist paradise and Cameron's........................ . Well it's difficult to tell what, exactly when even the Home Secretary forgot it was a leap year, so doesn't know what day it is.

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Market Man

Apr 24, 2012 at 08:58

Who promoted this 'scheme'?

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CirrusPilot

Apr 24, 2012 at 09:03

Try PwC

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Cynical Sam

Apr 24, 2012 at 09:23

*Speechless*

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Ian Watson

Apr 24, 2012 at 10:10

I'm not . . . one of the big 4 audited Enron . . .

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Chris Robertson

Apr 24, 2012 at 10:11

Sounds a bit of a Mickey Mouse Scheme !! Well it was Disney !!

Couldn't resist that - the old ones are the best !!!

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Gavin Mackay

Apr 24, 2012 at 10:13

and the rich get richer, while the rest of us pay.

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ANDY WOOLLON

Apr 24, 2012 at 10:17

He's going to be in a fouler mood when Utd lose the title to City....

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The Rumpo Kid

Apr 24, 2012 at 10:44

Will Fergie's 'advisers' get the hairdryer treatment?

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Tom Ryan

Apr 24, 2012 at 11:30

Invest £173,000 of your own money, borrow another £635,00 to invest on a non recourse basis. Total investment £808,000, tax relief at 50% is £404,000. Simples.........

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Peter Kay

Apr 24, 2012 at 11:52

Fergie said "It just Dis-ney add up"!!

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Kins

Apr 24, 2012 at 12:59

If only they were both in ludicrously over paid jobs so that they had some money to fall back on.........

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Paul Howard

Apr 24, 2012 at 15:17

Tony beat me to it.

I have seen several of these geared schemes before - some work as an investment....some don't!

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Stewart Tomlinson

Apr 24, 2012 at 16:04

Tom; Your arithmetic is suspect, as the case relates to tax year 2005/06 when the highest rate of income tax was 40%, not 50%.

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Dermot Brannigan

Apr 25, 2012 at 11:12

Did David Beckham put him on to it?

I expect they simply wanted Ferguson involved as Rooney was to star in the next Shreck movie

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