The millionaire sum that Monaco will pay for James’ transfer

The Spanish Supreme Court has rejected the appeal of the AS Monaco football club against the ruling of the National Court which condemned him to pay the Treasury 6.6 million euros for the transfer of Colombian footballer James Rodríguez to Real Madrid in 2014.

The Spanish justice system establishes as a criterion that the economic rights obtained by a club or a sports entity not resident in Spain for the transfer of an athlete to a club or sports entity resident in Spain constitute a capital gain for the foreign entity subject to Non-Resident Income Tax.

In this way, Monaco will have to pay the Spanish Treasury for the money collected from the sale of James to Real Madrid, valued at 75 million of euros, according to the Supreme Court.

Given that the Monegasque club had bought the player for 45 million from Porto a year earlier, “a capital gain was generated with reason for the transfer of the same player to Real Madrid that must be taxed in Spanish territory”.