A "red card" from the tax office to athletes earning high income but paying low taxes: 400 athletes failed to declare their income

According to information obtained from the Ministry of Treasury and Finance, the Revenue Administration continues its audits across different sectors and professions as part of its efforts to combat the informal economy. The administration has launched an investigation into high-amount athlete salaries that were left undeclared.

Checking whether athletes have declared the high fees they receive, the Revenue Administration determined that some of the fees paid by clubs to professional athletes playing in football, basketball, and volleyball branches in 2021, 2022, and 2023 were left undeclared.

In accordance with the Income Tax Law, clubs withhold taxes from the fees they pay to athletes. If the wage income obtained by athletes exceeds the 4th bracket of the income tax tariff, these professionals are required to file a tax return and pay tax calculated at progressive rates.

In the study conducted, 1,900 athletes were analyzed. Revenue Administration data, club declarations, contract information, news reports in national and international media, and transfer information disclosed by clubs to the Public Disclosure Platform (KAP) were subjected to cross-checks.

5 BILLION LIRAS LEFT UNDECLARED IN 3 YEARS

As a result of the study, major tax losses were detected in wage income earned between 2021 and 2023. It was determined that 400 athletes, including star names with million-dollar contracts, left approximately 5 billion liras of wage income undeclared in the last 3 years, and 100 athletes failed to report their wage income despite filing a tax return.

Minister of Treasury and Finance Mehmet Şimşek stated that the Revenue Administration will invite the athletes in question to provide an explanation and will request that they declare their undeclared earnings. Şimşek said, "For athletes who do not fulfill the necessary obligations within the scope of the invitation to explain, the unpaid tax will be demanded with penalties."

Emphasizing that audits aimed at combating the informal economy continue within the framework of the principle of justice and efficiency in taxation, Şimşek noted the following:

As the Ministry of Finance, we continue to knock on the doors of those who 'earn a lot but declare low income.' Our audit efforts targeting those who earn high income and hide their earnings will continue. We will do whatever is necessary to collect taxes from the informal sector.