Rangers Big Tax Case: Who benefitted from EBTs?

HMRC took legal action against Rangers over the use of EBTs in the early 2000s.
HMRC took legal action against Rangers over the use of EBTs in the early 2000s.
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THE Court of Session today ruled that the Employee Benefit Trust scheme operated by Sir David Murray between 2001 and 2010 was “subject to income tax”.

Her Majesty’s Revenue and Customs (HRMC) had lost its original appeal against a tax tribunal ruling on payments made by companies belonging to Murray, including Rangers.

EBTs were used to make payments to Rangers players between the tax years 2000/01 and 2009/10. HMRC argued that as much as £75,000,000, including interest and penalties, was owed by the Oldco as a result of its use of EBTs. The Murray group, including Rangers, countered that the £47.65 million of payments were loans rather than actual earnings and not subject to tax.

A table containing the names of Rangers players and staff who were beneficiaries of the Murray Group Remuneration Trust - as the EBT was called - and how much they received through that trust, was first reported by BBC Scotland.

These are the top ten beneficiaries.

Sir David Murray - £6.3 million

Murray took control of Rangers in 1988 and eventually sold what is now known as the Olco to Craig Whyte for £1 in 2011. The Oldco was subsequently liquidated a year later following an unrelated tax dispute between the club and HRMC.

Stefan Klos - £2m

The German internationalist was Rangers’ first choice goalkeeper for several years. Left the club in 2007.

Alex McLeish - £1.7m

Rangers manager until 2006. Won seven major honours with the Gers.

Dick Advocaat - £1.5m

The Dutchman was Gers boss from 1998-2002. Spent £75 million on transfers in that time.

Michael Ball - £1.4m

English defender Ball was signed for £6.5 million in 2001. Played 55 games before departing in 2005.

Tore Andre Flo - £1.3m

The most expensive player signed by a Scottish club, cost £12 million in 2000. Was sold for almost half that in 2002 to Sunderland.

Ronald De Boer - £1.2m

The experienced Dutch internationalist arrived at Ibrox in 2000 and was a popular player among fans until his departure four years later.

Nacho Novo - £1.2m

Fans’ favourite Novo joined Rangers from Dundee in 2004 and made 178 appearances for the Light Blues.

Thomas Buffel - £1.2m

The Belgian midfielder was signed by McLeish in 2005 and played 83 games for the Gers.

Kevin Muscat - £1m

The Australian defender joined on a free transfer from Wolves in 2002 and played 22 games before departing a year later.