Former Real Madrid coach Carlo Ancelotti has been handed a one-year prison sentence by a Spanish court for tax fraud committed during his first stint with the club in 2014. The court found the Italian guilty of failing to declare over one million euros in income derived from image rights. However, Ancelotti will not serve time in prison as the sentence is under two years and he has no prior criminal record, in accordance with Spanish legal provisions.
Prosecutors alleged that the 66-year-old tactician used a network of shell companies and tax havens to obscure earnings and avoid taxation. The court’s ruling stated that Ancelotti exhibited “a conscious desire to evade the payment of taxes… through artificial mechanisms,” and described his financial arrangements as lacking “real economic logic.”
The case centered around earnings Ancelotti received through image rights, which were not reported as part of his taxable income while he was managing Real Madrid in 2014. Though prosecutors had initially sought a sentence of four years and nine months, the court ultimately issued a reduced sentence. He was also fined 386,361 euros ($452,821).
At his trial in April, Ancelotti denied knowingly committing fraud, stating he was unaware that the image rights scheme would result in lower tax obligations. The court cleared him of charges related to the 2015 tax year, citing insufficient evidence that he was a Spanish tax resident at the time.
Ancelotti joins a growing list of high-profile football figures, including Lionel Messi, Cristiano Ronaldo, and Jose Mourinho, who have been convicted of tax evasion in Spain. All received suspended sentences.
With a stellar résumé that includes five UEFA Champions League titles as a manager, Ancelotti remains one of football’s most decorated coaches. His career has spanned top clubs including AC Milan, Chelsea, Bayern Munich, and Paris Saint-Germain. He recently departed Real Madrid to take up the role of head coach of Brazil’s national team following a rare trophyless season.
While the ruling marks a blemish on his otherwise illustrious career, Ancelotti’s legacy on the pitch remains unparalleled. However, it underscores the persistent scrutiny football figures face regarding their financial dealings in Spain.
