The Tax Commissioner will meet with representatives of major football clubs today to address unpaid taxes totalling €35.5 million, including €4.1 million accrued since a new repayment scheme was introduced in May 2023.
The Tax Department aims to reach an agreement with the clubs to avoid criminal prosecution of football officials. According to sources, the Department requires payment of at least 50% of the new debts, approximately €2 million, as a gesture of goodwill.
The Commissioner, Sotiris Markides, will first meet with AEL management to discuss their specific situation regarding the club’s transition from an association to a company.
Later meetings will include APOEL, Apollon, and Anorthosis, which collectively owe €25.6 million, with €2.5 million being recent debt.
The meetings will include a Cyprus Football Association (CFA) representative at the clubs’ request. While club officials had sought the Finance Minister’s involvement, Makis Keravnos will not attend as he is abroad.
The Tax Department warns that clubs must settle their recent debts to be reinstated into the repayment scheme and avoid €10 million in frozen interest and penalties.
Criminal prosecution would make debt restructuring difficult as clubs would be ineligible for the scheme.
Tax officials are preparing charges against over 100 club directors and board members, including former MPs and prominent business figures.
The government emphasises that football clubs no longer have immunity and will be treated like other taxpayers.
Under the law, penalties may include fines, imprisonment, property liens, and the freezing of club bank accounts if no solution is reached.
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