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Basketball: when players disappear to escape the tax authorities

He was not on the floor during his team’s last game earlier this week. Christopher McKnight, 33-year-old American player, will no longer wear the Poitiers jersey. He took advantage of the truce of the confectioners of the Pro B championship to leave his training and France. By mutual agreement, depending on the parties involved.

The last of its championship, the club – which remains on a series of 25 defeats in 26 matches in all competitions for a year – was not satisfied with the performance of its player and preferred to part with it. But McKnight himself was in a hurry to leave … According to our information, the player, well known to the French courts where he played since 2015, would not have been very serious with his tax returns since his arrival in the territory and risked a tax adjustment. A reason which would have encouraged him to fly to other countries.

The American is not the only athlete to suffer from “administrative phobia”, according to the expression of the former Secretary of State, Thomas Thévenoud. Even if the subject is taboo and sensitive, anecdotes and stories concerning players who have spun “for personal reasons” are numerous. “I know some who left without warning and will not come back if they do not want to be caught by the tax authorities”, assures a leader.

“It’s more negligence than anything else”

“One year, I made a player’s statement, he just had to sign it and post it… He never did, remembers an agent. The following year, he was surprised to see his account drained by taxes. There was the recovery and 40% penalty … But that does not concern foreign players, even French players forget to declare their income. “With the difference that they will not be able to escape the tax authorities unless they are expatriated …

Even if the number of cases has fallen sharply since the introduction of the withholding tax in 2019, many sportspeople still have great difficulty adapting to the French tax system. “The players come to play and are not interested in the rest, it is more negligence than anything else,” said another agent. The tax system has however softened in recent years with the withholding tax and the establishment of the impatriation regime. A “tax gift” allowing players who have not been domiciled on French soil during the previous five years to benefit from the exemption of part of the salary for several years.

“In Turkey, the tax does not exist for the player”

“Athletes are subject to the same regime as artists and benefit from a spreading of their taxes,” explains Olivier Mazet, players’ agent. They are not taken in the first year but there is a regularization after five years. With the withholding tax, there is no longer any surprise effect but the agent must explain the situation well and remember that the sum noted at the bottom of the contract will not be the final sum, that it is the net before taxes. Some accept, others have a cold shower and prefer to leave quickly. In China or Turkey, tax does not exist for the player, it is the club that takes care of everything. “

“It’s easy to refuse to pay but taxes are necessary to allow them to have a quality of life and social security from which they benefit in France,” said a leader. Last season, they touched partial unemployment, elsewhere the players did not receive any income after the end of the championships. If he has a family and children, he will be less withdrawn and even more protected than elsewhere. “Most agents now work with accounting firms for declarations,” explains Vincent Fontaine, general manager in Orléans (Jeep Elite). It’s more framed, more professional. “

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Even if the salaries of basketball players are far from those of footballers, some players no longer hesitate to take advice from tax or heritage advisers to avoid unpleasant surprises. “The club and the agent have an important role even if sometimes that is not enough, entrusts Jesse Delhomme, of the union of basketball players. We are not there to manage the players’ money but if they need explanations and help, we are there. When we tour the clubs at the start of the season, we explain the principle of taxation in France. It is not always easy with the language barrier, but the situation has become easier in recent years. It is increasingly rare for a player to be in trouble with taxes. “

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