The chair of a cross-party group of MPs has called on His Majesty's Revenue and Customs to scrutinise the tax implications of Manchester City's Premier League case.
An independent commission confirmed on Tuesday that Manchester City was found guilty of 114 of the 115 charges against them. The charges relate to breaches of Premier League financial regulations between the 2009-10 and 2017-18 seasons.
The club artificially inflated revenue through "sham" sponsorship agreements with the help of their owners, the commission found. Manchester City utilised devices to "disguise the true extent of certain club liabilities".
MPs Request Document Access
Dame Meg Hillier, chair of the Treasury Committee, has asked HMRC whether the government department has requested the redacted documents contained within the commission's report.
In her letter, Dame Meg Hillier said she would "welcome reassurance from HMRC that you are seized of the importance of these issues and the public interest in this case".
Tax Liability Claims
A report from the Tax Policy Associates claims Manchester City failed to pay as much as £12m in unpaid tax because of a "sham" contract with former manager Roberto Mancini. Including income tax and National Insurance, the report claims the club could face a penalty charge that would take their liabilities to £24m.
The Club's Defence
Manchester City has repeatedly denied guilt and signalled an intent to lodge an appeal by Friday. As part of their appeal, the club will claim that key sponsorship deals were funded by the Abu Dhabi government, rather than by the club's owners Abu Dhabi United Group (ADUG).
Sources have told BBC Sport that City are expected to tell an appeal board they have evidence showing money directed to state-owned sponsors came from the Abu Dhabi government. Premier League rules allow state-owned bodies to sponsor clubs.
According to the independent commission's 40-page 'core decision', Manchester City had denied there was ever any disguised funding scheme. The club's case was that the Premier League had misunderstood how Abu Dhabi sponsorship agreements had been funded, and that Abu Dhabi sponsors had always been liable for all recorded sponsorship fees.
