Spanish Court to Hear Tax Fraud Case Against Ancelotti

Real Madrid coach Carlo Ancelotti will go on trial on Wednesday over allegations of tax fraud, making him the latest high-profile sports figure in Spain to face scrutiny over undeclared earnings.

Spanish prosecutors are seeking a prison sentence of four years and nine months for the 65-year-old Italian, accusing him of failing to declare more than one million euros ($1.1 million) in income from image rights between 2014 and 2015.

Similar tax cases involving footballers have previously resulted in suspended sentences rather than jail time.

The trial will take place at the High Court of Justice in Madrid, beginning at 10 a.m. local time, and is expected to last two days.

Prosecutors argue that Ancelotti only reported his salary from Real Madrid during the two-year period, despite officially registering as a tax resident in Spain and listing Madrid as his place of residence.

They further claim he used a “confusing” and “complex” network of shell companies to conceal additional earnings from image rights and real estate.

A judge leading the investigation previously stated in a 2023 court document seen by AFP that Ancelotti had “acknowledged” the actions that resulted in unpaid taxes. This admission could pave the way for a last-minute agreement to settle the case and avoid trial.

Ancelotti, who has won a record five Champions League titles as a coach—including three with Real Madrid—has dismissed the allegations as an “old story” and expressed confidence in the legal system.

In recent years, Spanish authorities have intensified efforts to crack down on tax fraud among top football figures.

Former Real Madrid coach José Mourinho received a one-year suspended sentence in 2019 after pleading guilty to tax fraud. Superstars Lionel Messi and Cristiano Ronaldo were also found guilty of tax evasion and handed prison sentences, which were waived as first-time offenses.

Beyond football, Colombian singer Shakira agreed in 2023 to a three-year suspended sentence and paid €7.3 million in fines to settle her tax fraud case. Prosecutors had accused her of failing to pay €14.5 million in taxes between 2012 and 2014, though she insisted she was not a full-time resident in Spain at the time.

Ancelotti first joined Real Madrid in 2013 and left in May 2015 before taking charge at Bayern Munich the following year. He later managed Napoli and Everton before returning to Real Madrid in 2021.

The former Italy international, who won two European Cups as a player with AC Milan, has also secured league titles in Spain, England, Germany, France, and Italy—one of the most decorated coaching careers in football history.

As his trial begins, the outcome could have significant implications for his future at Real Madrid and beyond.