Carlo Ancelotti on Trial: Real Madrid Coach Faces Prison Sentence Over Alleged Tax Evasion

Real Madrid’s legendary head coach, Carlo Ancelotti, found himself in the spotlight for an entirely different reason on Wednesday as he stood trial in Spain for alleged tax evasion. Prosecutors accuse the Italian tactician of failing to pay €1 million ($1.08 million) in taxes on image rights revenue during his first stint with the Spanish giants in 2014 and 2015.

Despite the serious allegations, Ancelotti remained composed in court, maintaining that he had no intention of defrauding the Spanish tax authorities.

“For me, everything was in order,” Ancelotti stated during his testimony. “I never thought about committing fraud.”

According to CNN, the 65-year-old coach took the stand on the first day of the trial, explaining that his salary structure at Real Madrid was arranged by the club and his British financial adviser. He emphasized that he was offered a net salary of €6 million upon joining and left the tax arrangements in their hands.

“I thought it was quite normal because, at that time, all the players and the previous coach had done the same,” he added, defending his financial arrangements.

The case adds Ancelotti’s name to a growing list of football elites entangled in tax fraud investigations by Spanish authorities. Former Real Madrid superstar Cristiano Ronaldo and ex-Atletico Madrid striker Diego Costa opted to settle their cases with hefty fines. Meanwhile, Bayer Leverkusen coach Xabi Alonso fought similar charges in court and emerged victorious, with Spain’s Supreme Court upholding his acquittal in 2023.

However, Ancelotti’s situation remains precarious. Spanish prosecutors are pushing for a four-year, nine-month prison sentence and a €3.2 million ($3.5 million) fine, arguing that he deliberately failed to declare earnings from his image rights.

Ancelotti countered by asserting that image rights are far less lucrative for managers compared to star players, who generate significant revenue from sponsorships and merchandise sales.

“For coaches, image rights don’t mean the same as they do for players because they don’t sell shirts,” he explained.

Despite the legal battle, prosecutors acknowledged that Spanish tax authorities have already seized the allegedly owed amount along with accrued interest. The case remains open for a potential out-of-court settlement, and a final verdict is expected in the coming weeks.

Adding a personal dimension to the trial, Ancelotti’s wife, Mariann, his son and Real Madrid assistant coach, Davide, and his stepdaughter, Chloe, all testified in court. Their statements could play a crucial role in shaping the outcome of the case.

A former Italian international who represented his country in the 1990 World Cup, Ancelotti’s coaching career is nothing short of illustrious. He has secured a record-breaking five UEFA Champions League titles as a manager—twice with AC Milan and three times with Real Madrid—solidifying his place among the greatest tacticians in football history.

However, as the trial unfolds, Ancelotti faces one of the toughest challenges of his career—not on the pitch, but in the courtroom. Whether he will walk away with a settlement or a conviction remains to be seen.

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