With years of experience and expertise TAG Tax provides all the answers on tricky taxation issues
Taxation laws can seem baffling and terrifying in equal measure, but TAG Tax prides itself on having unmatched expertise on a wide range of complex financial issues. Founded in 2016, the TAG Tax team offers a bespoke advisory service for professional sports players and their families, while also using its wealth of knowledge to advise accountants right across the UK.
With over 150 years of collective experience, the firm specialises in everything from personal taxation to capital gains, corporate and inheritance tax, stamp duty, HMRC investigations plus will and estate planning. Overseeing a team of 25 consultants, Managing Director and Co-Founder David Logan says: Tax covers such a wide area but due to the different specialisms and experts of our team, there is no area of tax that we cannot assist with.”
‘I’ve got very good access to key personnel within HMRC, and we’ve also got ex HMRC inspectors within our team’
David believes there are several factors that make TAG Tax stand out from competitors. ‘Firstly, we’re a trusted tax adviser for more than 130 accounting practices in the UK. Secondly, every professional player who chooses TAG Tax will automatically have me as their tax partner, and they will not be handed down to a junior in the team. Lastly, we don’t charge by the hour but through a fixed fee, so all clients are fully aware of their costs upfront throughout the year.”
TAG Tax also deals with high-net-worth individuals in relation to tax investigations, and David adds: ‘For the past five years I’ve specialised in supporting clients who’ve got caught up in things like tax avoidance schemes, helping them find a roadmap through it. I’ve got very good access to key personnel within HMRC, and we’ve also got ex HMRC inspectors within our team, who know all the workings of dealing with HM Revenue & Customs.
David says that for footballers starting out in the professional game, compliance is vitally important. ‘Players need to be fully aware of all tax obligations from day one. Being fully up to speed on tax liabilities from earnings and any allowances is essential. HM Revenue & Customs is moving towards quarterly reporting from 2024, and without the right advice, footballers can easily get caught out with benefits in kind. They also need to be very careful about image rights, which HMRC are getting tougher on – as we saw with Hull City AFC (Tigers) Ltd vs HMRC (aka Hull City Tigers) first-tier tribunal decision in respect of Image Rights.
‘Tax covers such a wide area but due to the different specialisms and experts of our team, there is no area of tax that we cannot assist with’
Similarly, more experienced players need to be on the ball with tax issues. ‘For seasoned professionals, records must be kept totally up to date with HMRC. One of the biggest problems we see with professional sportspeople is them getting tax liabilities out of the blue. If it’s not dealt with properly there are potential penalties – and it’s always the responsibility of the taxpayer to understand their obligations.”
Likewise, retired players or those nearing retirement are equally well catered for by TAG Tax. ‘In the same way that it’s never too early to start tax planning, it’s never too late. Even if a player only has one or two more years left in the game, they must be thinking of their exit strategy, and we can certainly help with that.
DAVID’S TOP 5 TAX TIPS
■ Plan for the future It doesn’t matter if you’re starting out or coming to the end of your sporting career, always plan for where you’re going to be in five, 10 or 15 years.
■ Have an exit strategy It’s great to have money for nice cars and holidays, but it’s important to realise that football is a short-term career, so an exit strategy is needed from the very beginning.
■ Use pension contributions wisely You need to make the most of your personal pension contributions, and be aware of the tax relief you can get on them.
■ Maximise all available allowances Don’t miss out on ISAs, and be with savings income as there are yearly allowances for married couples and partners.
■ Utilise tax-efficient investments Make the most of tax-efficient investments such as Enterprise Investment Schemes and Venture Capital Trusts, which can reap rewards.
David Logan | CTA ATT (Fellow) | Managing Director
With over 25 years of tax experience, David started his career as a Chartered Tax Adviser (CTA) with the Chartered Institute of Taxation and the Association of Taxation Technicians (ATT) and specialises in owner-managed businesses and personal tax for high net individuals as well as an expert in dealing with serious HMR tax investigations.