The Supreme Court has ruled in favour of HM Revenue and Customs (HMRC) over Glasgow Rangers\' use of Employee Benefit Trusts (EBTs).
Historically, EBTs were used by companies to reduce their liability for employer’s national insurance, as well as to reduce the employees’ income tax bills. The employer would deposit money, instead of wages or bonuses, in offshore trusts of which employees were the beneficiaries. The trusts would then typically grant low tax or tax-free loans to the employee.
More than £47 million was paid to Rangers players, managers and directors between 2001 and 2010 in tax-free loans, wh...
