Roma face potential €34 million fine from Italian financial police

Roma are facing a potential hefty fine from the Italian tax authorities following an investigation by the Guardia di Finanza. Calciomercato report that the financial police have scrutinized the club’s financial records from 2016 to 2021, issuing a report alleging “unfaithful declaration” in their accounting practices. The club, owned by Dan and Ryan Friedkin, has so far contested these allegations and refused to settle.

The potential fine could range from €17 million to a maximum of €34 million , representing administrative sanctions that Roma might have to pay if it’s confirmed they failed to pay €19 million in corporate income tax (IRES). This amount emerged from the financial police’s investigations. However, Roma may still be able to prove the regularity of the contested operations.

Investigators believe the club adjusted its balance sheet through two types of operations that generated “higher non-deductible costs” of about €80 million , resulting in €19 million  of IRES owed to the tax authorities. These operations include disguised exchanges presented as reciprocal purchases (six cases in particular, including a market exchange with Juventus involving left-backs Leonardo Spinazzola and Luca Pellegrini) and excessive devaluation of eight players: Diawara, Pedro, Pastore, Nzonzi, Dzeko, Perotti, Leandro Castan, and H’Maidat.

The case has now been passed to the Italian Revenue Agency for further rapid verification, as the statute of limitations for the first year of contested accounts expires on December 31, 2024. Roma has several options moving forward: they can pay the full fine if tax evasion is confirmed, successfully demonstrate the regularity of the contested operations, seek a conciliation agreement potentially reducing sanctions by up to one-third, or pursue the case in the Tax Justice Court if no agreement is reached.