Former Spanish international midfielder Andres Iniesta, subject to a tax adjustment in Japan for having failed to declare part of his income, paid the supplement due to the local tax authorities, amounting to around 3.5 million euros, all arguing that he had also declared this income in Spain.
“During the 2018 financial year, I declared my income from around the world to the tax authorities in Spain,” Iniesta said in a statement published by his management company, a copy of which AFP received on Sunday.
“Japanese tax authorities began an investigation focused on my residency status under tax rules, and concluded that I was resident (in Japan) for part of 2018,” he explained.
“Therefore, the income from this period is subject to double taxation,” he said, adding that he had requested that the excess tax be refunded based on the double taxation agreement concluded between the two countries.
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The 2010 world champion, who spent five years with Japanese club Vissel Kobe until 2023, was accused of failing to declare around 860 million yen (5.25 million euros) of revenue for 2018, according to public broadcaster NHK and other media outlets.
If a foreign player’s contract is less than one year and he is not accompanied by his family, Japanese authorities consider him a non-resident and he pays less taxes than a resident, according to reports citing the state tax agency.
However, the Osaka regional tax center estimated that in 2018, Iniesta was a resident because he lived with members of his family and then benefited from a multi-year contract, hence the additional tax of around 580 million yen (EUR 3.553 million) which was claimed from him.
Contacted by AFP, the Osaka tax authorities declined to comment.
The Kyodo News Agency reported last week that South Korean goalkeeper Kim Jin-hyeon and Brazilian striker Patric had also misdeclared their income to the Japanese tax authorities, which claimed about 220 million yen from them respectively (1, 3 M EUR) and 210 million yen (1.28 M EUR).
