Quote:
Originally Posted by Damien
It sounds like Rangers continued to exploit loopholes that were closed.
I can't even find what case that is, only a couple of posts on Rangers forums.
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They used a loophole that was perfectly legal but seem to have run it in a way that left them open to action. Basically, and this may be incorrect as I'm no tax expert, they paid high earner wages into an offshore company from which the player could claim money from as a loan that never needed paid back. As it was a 'loan' there was a lower tax on the money than if it was a wage.
Rangers allegedly had this written into contracts as a wage or benefit rather than keeping it under the table.
If the tax case went our way then no bill but HMRC would appeal leaving another year or two of uncertainty. If it went against Rangers the bill plus penalties would be almost 18 months of turnover.
Whyte, who I believe has previous for this type of thing, seems to have come in with express intention of running up as much debt as possible by not paying anything, salting away money from player and ticket sales and now one of his pals is the receiver he'll phoenix the company and hope the other Scottish clubs accept the new Rangers into the league while the creditors for the old company (HMRC and the ticketing company mostly) can whistle for the cash.
