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Carlo Ancelotti found guilty of tax fraud in Spain

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Carlo Ancelotti found guilty of tax fraud in Spain
Photo: Reuters
Carlo Ancelotti, the current Brazil coach and legendary former Real Madrid boss, has been found guilty of tax fraud by Spanish authorities, but will avoid jail under Spanish law.

The 65-year-old was handed a one-year prison sentence for failing to declare income from image rights in 2014, during his first stint in charge at the Bernabéu.

Spanish prosecutors had accused Ancelotti of defrauding the state of more than €1 million across 2014 and 2015.

However, whilst he was acquitted of charges related to 2015, the court ruled that he was guilty of failing to pay €386,000 in taxes owed for the previous year.

In addition to the fine, Ancelotti is now barred from receiving Spanish government grants or state aid.

Why Ancelotti Won't Serve Time

Despite the guilty verdict, Ancelotti will not spend time behind bars.

Under Spanish law, non-violent first offences carrying sentences under two years are often suspended, meaning he'll remain free as long as he does not reoffend.

The Italian has consistently denied wrongdoing, claiming that he did not meet Spain's 183-day residency threshold in 2014 to be considered a tax resident.

He argued that any discrepancies were due to errors made by his accountants.

Still, he declined to settle with Spain's tax agency and chose to defend himself in court.

A Glittering Career, Tarnished Slightly

Ancelotti, one of the most decorated coaches in football history, led Madrid to multiple La Liga and Champions League titles across two spells.

After leaving the club at the end of the 2023/24 season, he took over as coach of the Brazil national team earlier this year.

This isn't the first time a high-profile figure in Spanish football has faced tax issues.

Lionel Messi, Cristiano Ronaldo, and José Mourinho have all been embroiled in similar cases - many also resolved with fines and suspended sentences.

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