How HMRC's Renewed Preferential Creditor Status Impacts UK Football Clubs
The UK’s tax authority, Her Majesty’s Revenue and Customs (HMRC), now holds secondary preferential creditor status in seeking to recover certain taxes upon any UK company entering into insolvency. The nature of the UK legal architecture means that England and Wales, Scotland and Northern Ireland are different legal jurisdictions governed by a different combination of insolvency laws and regulations.
This article focuses on the impact of this tax reform on English law and English professional sports clubs: specifically on those that enter insolvency but also on the ability of clubs to obtain credit during the ordinary course of business.
Continue reading this article...
Already a member? Sign in
Get access to all of the expert analysis and commentary at LawInSport including articles, webinars, conference videos and podcast transcripts. Find out more here.
- Tags: Bankruptcy | EFL | Finance Act 2020 | Football | HMRC | Insolvency | Insolvency Act 1986 | Sports | Tax Law | United Kingdom (UK)
- HMRC 2 - Football 0
- Football Creditors Rule: Is The Football League’s new insolvency policy a step in the right direction?
- A guide to Financial Fair Play and the ability of European football clubs to raise finance (Part 1)
- Insolvency in the EFL - the Football Creditors Rule and laws protecting players & staff
- Who Is Competent To Decide Upon The “Sporting Successor” Of A Football Club?
- Payments to football agents - what clubs & players need to know about HMRC's new guidance
- How The Corporate Insolvency and Governance Act 2020 Is Helping Struggling Football Clubs
- A Guide To Financing Football Clubs: Part 1 – Debt Finance
About the Author
Managing Associate, Linklaters
Mark Warren is a banking finance lawyer at Linklaters. He is an English law qualified solicitor and has been working in international corporate finance since 2012, having worked in London, Hong Kong, Hamburg and now Amsterdam. He advises domestic and international clients across a range of different financial products, including bank lending, structured finance, securitisation, project finance and derivatives.