Kieran Maguire: Tax Issue may have blocked Eriksen's Tottenham return
One of the potential reasons why Christian Eriksen’s mooted Tottenham return didn’t materialise is because of a quirk in Italy’s tax system.
That is according to finance expert and new Football Insider columnist Kieran Maguire, speaking exclusively after the transfer window slammed shut on 1 Feb with no deal for the Inter Milan playmaker having gone through.
Eriksen left North London for Milan only a year ago but after a promising start has seen his game-time drastically reduced in 2020-21, and so was seeking a Premier League return.
The Athletic reports that the Dane’s £6.5million a year wages were a stumbling block in negotiations with Spurs.
Maguire explains how Eriksen could earn far more in Italy than he would in England despite being paid the same salary.
He told Football Insider correspondent Adam Williams: “If you are a foreign national as Eriksen is, you can opt to pay a set fee for your tax and everything else is taxed at a low rate.
Subscribe to Football Insider TV now
“So from the Italian tax authority’s point of view, you’re guaranteed a certain amount of money and then you’ll pay, say, 20% on the remainder of your earnings rather than 45%.
“So from the player’s point of view, it works out much better for them.
“When you talk to Italian players and agents, they always say ‘I don’t give a damn what the salary is, it’s how much is actually coming into my pay-packet at the end of each month which is important.’
“What happens here in England, for every extra pound you earn, you pay 45% in tax.”
A knock-on effect of the Eriksen deal falling through is that out-of-favour Dele Alli remains a Tottenham player.
The 37-time England man was persistently linked with a move to Paris Saint-Germain but Spurs were unwilling to let him go before a move for Eriksen was finalised.