England Manager Gareth Southgate Reportedly Involved in £434M Tax Avoidance Dispute

Published on: 11 October 2016

England manager Gareth Southgate has reportedly found himself, along with hundreds of other clients, involved in a £434m tax avoidance dispute, according to theMirror.

The former Middlesbrough boss, 46, is understood to have invested in two partnerships set by an investment firm called 'Ingenious', who have denied allegations of tax avoidance.

He joined the partnerships (Inside Track 1 LLP and Inside Track 3 LLP) back in 2004 while he was still playing for Boro but he, along with a reported 400 other investors, have been hit with a tax demand by HM Revenue and Customs.

A number of British household names have been involved with the Ingenious firm between 2002 and 2010, which include the likes of David Beckham, Gary Lineker and TV stars Ant and Dec.

The firm had the initial intention of backing the British Film industry and those intentions were backed by the millions invested by the stars but they have recently claimed £1.6bn in losses.

But the individuals involved with Ingenious, who had been listed as partners of LLP, were lawfully able to write off the losses from those schemes against other income. Southgate is listed as being a member of both of the LLPs.

And following a tax tribunal ruling, the investors, including Southgate, have been ordered to pay £434m in unpaid tax plus interest on top of it.

However, it is not clear whether Southgate and the other investors have settled the dispute with the HMRC or are currently awaiting the outcome of legal dispute between the two parties.

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The firm havestrenuously denied any wrongdoing in their actions and while the tribunal has recognised the film production partnerships were legal, they have ordered the loss taxes to be paid- something the firm are considering an appeal for.

The FA have so far been reluctant to speak on the matter, with an FA spokesman stating the issue is a "private matter."