Tax debts owed by several football clubs to the Tax Department remain unresolved, despite some clubs having paid part of their new debts created after May 2023, while others have committed to paying soon.
Although the deadline set by the Tax Department for repayment has long passed, neither the department nor the Ministry of Finance has decided on next steps, leaving the matter pending.
There appears to be confusion regarding who should make decisions about how to treat these debtor clubs. The Tax Department seems to be waiting for initiative from the Ministry of Finance and the Council of Ministers, while the Finance Minister is asking the Tax Commissioner to apply the law as he does for all citizens and businesses.
Finance Minister Makis Keravnos has repeatedly stated publicly that the Tax Commissioner is handling the matter in line with his duties and should make relevant decisions based on legislation. However, the Tax Department believes that the decision to reinstate these clubs (APOEL, Apollon, Anorthosis, AEL) in the debt repayment scheme falls under the Council of Ministers’ authority.
APOEL created new debts (after the 2023 scheme) amounting to €1.8 million, AEL €1.6 million, Apollon €1.3 million, and Anorthosis €650,000. APOEL paid €700,000 a few days ago, committing to pay another €200,000 soon, while Apollon and Anorthosis have paid approximately 50% of their debts.
Meanwhile, AEL has committed to paying off all its new and older debts. ARIS and Paphos FC have made similar commitments and are awaiting decisions from the Council of Ministers regarding tax deductions.
It is estimated that with the full repayment from these three clubs and partial payments from others, the state will collect around €4.5 million.
According to sources, Tax Commissioner Sotiris Markidis sent a note to the Finance Minister about two weeks ago, informing him of developments (partial debt repayments and commitments from other clubs for full settlement).
Reports suggest Markidis proposes reinstating APOEL, Anorthosis, and Apollon in the repayment scheme, from which they were removed due to non-compliance.
If reinstated, the clubs’ monthly payment amounts would be readjusted. Sources from the Ministry of Finance indicate the minister gave explicit instructions to the Commissioner on handling the matter, adding that clubs are negotiating directly with the Commissioner.
The ministry received the relevant note, with the minister instructing the Commissioner to make decisions according to the law and commitment to equality, as done with other taxpayers.
Presidential sources indicate instructions were given to the Finance Minister to prepare a note with new developments and recommendations for handling the issue.
It remains unclear whether the Council of Ministers or the Commissioner should decide on reinstating the clubs, as this is not clearly specified in the scheme’s provisions.
According to the May 2023 scheme, companies failing to meet their obligations would be excluded, with all debts to the Tax Department becoming immediately payable.
The scheme also stipulated that clubs not meeting their obligations would be referred to the CFA’s Judicial Committee for an immediate transfer ban until full debt settlement, but none of these provisions have been implemented.
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