A Spanish court has handed Brazil national team coach Carlo Ancelotti a one-year jail sentence for tax fraud dating back to his time as Real Madrid manager in 2014 – but he will not be obliged to serve prison time.
Alongside the prison term, the court in Madrid also imposed a fine of €386,000 on the Italian coach.
Prosecutors had accused Ancelotti of defrauding the Spanish tax authorities of approximately €1 million during 2014 and 2015. They had initially sought a sentence of up to four years and nine months on two counts of tax fraud.
In March 2024, prosecutors alleged that Ancelotti concealed his earnings through the use of shell companies, including one based in the Virgin Islands which they claimed hadn’t ‘any real (economic) activity’, as part of what they described as a tax evasion scheme.
Under Spanish law, prison sentences under two years can be suspended for individuals without prior convictions.
Ancelotti had denied having intentionally committed fraud at his highly publicised trial in early April, saying he never realised a scheme allowing him to collect some of his salary in image rights would see him pay less tax. ALSO READ: Real Madrid coach Carlo Ancelotti in court for alleged tax evasion trial.
According to the Associated Press, a member of Ancelotti’s entourage said that his legal team welcomed the ruling, which also determined that Ancelotti was not officially a Spanish resident in 2015. The individual requested anonymity due to lack of authorisation to speak publicly.
Brazil’s football federation has not issued a statement in response to the court’s decision.
Ancelotti is the latest high-profile football figure targeted by Spanish tax authorities in recent years, joining a list that includes Lionel Messi, Cristiano Ronaldo and former Madrid coach José Mourinho. None have served actual jail time.
Ancelotti, who turned 66 last month, is among the sport’s most decorated coaches. He is the only manager to have lifted the Champions League trophy five times – three with Real Madrid and two with AC Milan – and remains the only coach to have won league titles in five of Europe’s top leagues: England, Spain, Italy, Germany and France.
He took the reins of Brazil’s national team after completing his second spell with Real Madrid. ALSO READ: Xabi Alonso officially takes over as head coach of Real Madrid.
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