Garrigues Sports Newsletter - February 2026
Publication prepared by the Garrigues Sports Department analyzing, from a tax and legal perspective, the most relevant recent regulations, court rulings, and decisions within the framework of professional sport in Spain.
The Catalan High Court ruled that the nonresident income tax assessment issued to a MotoGP rider for income linked to races in which he did not ultimately take part was unjustified
The judgment, handed down in the context of a judicial review proceeding, considered the contested original assessment unjustified, as it included in the motorcycle rider’s nonresident income tax base income obtained in the Catalan Grand Prix MotoGP race, because although the rider was registered to participate in it, he did not ultimately race due to an accident that took place at the start of the race.
The Spanish Supreme Court recognized the existence of an oral partnership between a football players’ agent and his collaborators
The Supreme Court confirmed that the professional reputation and player portfolio may be valid contributions to a partnership, recognized the agreed percentage distribution of the economic rights generated by the representation of twelve professional players, and defined the time period of the right to share in the profits.
Judgements, rulings and administrative resolutions
- DGT resolutions
- Hiring an Austrian orchestra to perform in Spain generates an obligation to withhold nonresident income tax even if the payment is channeled through a British agency
- Personal trainer’s activity must be reported in economic activities tax group 049, not under the headings for sports schools
- Football club museum tickets subject to VAT at the reduced 10% rate
- Amounts paid for travel by amateur players are classified as earned income and are subject to personal income tax withholdings
- Analysis of applicability of VAT to the organization of sports competitions by a club
- Analysis of personal income tax implications of salaries deferred by a collective agreement at a sports club
- Prizes obtained by amateur sportspersons are classified as capital gains, without the possibility of deducting associated expenses
- Mediation services for football players are subject to VAT according to the place where the employing club is located
- Prizes awarded in contests are subject to taxation and withholdings according to the type of participant
- The fee received for the assignment of the operation of sports activities is subject to corporate income tax and may be exempt from VAT
- Analysis of the VAT treatment of the organization and management of football clinics by a US company
- Resolutions and judgements
- The Central Economic-Administrative Tribunal (TEAC) renders null the withholdings from payments to intermediaries of foreign athletes due to lack of evidence of their performance in Spain
- The habitual occupation of a football player prevails over the secondary activity in the classification of permanent disability
- Lack of transparency in sports agency contracts with minors is deemed unfair
- The Castilla y León High Court confirmed that skiing risks are assumed by the sportsperson, rejecting the financial liability of the government
- The Supreme Court upheld the conviction for intentional injuries during a football match and rejected the notion that sports can justify assaults occurring outside the run of play
- Lack of reasoning in the termination letter renders the dismissal of a coach unjustified
- Negotiation of the collective bargaining agreement for the men’s Primera RFEF complies with the law and does not breach the principle of equality by excluding other categories
- The CJEU requires effective judicial review of CAS awards to safeguard EU rights
- Deductibility of VAT on advisory services concerning image rights requires proof of a direct link with the professional activity
Legislation
- Publication of the 2nd collective bargaining agreement for women football players in the first division
- FIFA presents the latest edition of its Disciplinary Code
- Amendments to the Code of Sports-related Arbitration and the schedule of arbitration costs
- Publication of the Agreement on health prevention and the fight against doping in sport
- Publication of the FIFA Regulations on the Nomination and Appointment of FIFA International Match Officials
- Publication of amendment to the Statutes of the Spanish Rugby Federation
- IOC proposes amendments to the Olympic Charter to strengthen brand protection
Other news
- The Royal Academy of Jurisprudence and Legislation hosted the presentation of the book 'Fiscalidad del Deporte Profesional'
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