It often happens that investigative television programs, let’s call them that, programs which, according to the “newsboys”, should reveal the misdeeds of the powerful, do not always hit the target, perhaps starting from a thesis and assembling the service or program to support this thesis. With an operation that is often intellectually not honest. And it often happens that what should have been a heavy artillery strike often ends in a firecracker. And also half spoiled. So we arrive at the recent mini-investigation by Report, relating to Ferrari and the contracts of its drivers (and not just those engaged in Formula 1).
In the program, Emilio De Santis, an accountant accustomed to the world of F1, explained how the payment of the drivers’ emoluments takes place: “The compensation of athletes is taxed exclusively in the place where the event in which they participate takes place. If there is a general remuneration that provides for participation in the event, for example the Italian GP, the portion of this presence is taxed in Italy “.
F1 drivers are considered self-employed. Tax payments are made by the teams to which they belong, which are their clients and act as withholding agent, withholding the due part. De Santis then said that “some Italian teams” would have the habit of using external companies to pay their drivers, thus avoiding the withholding tax.
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De Santis does not go further but, naturally in a completely random way, an enlargement of one of the sheets in his hand, certainly done without the knowledge of the accountant, shows the GSA (Gestions Sportives Automobiles) Swiss company which, on behalf of Ferrari takes care of these contracts. As the talented collaborators of Report were able to verify, going to Switzerland, it is an empty box.
In the building that corresponds to the address of the smoky GSA (and where many other companies are located) there is a room, rented regularly, a desk, but no one inside it. And, more curiously, GSA is in all respects a Ferrari subsidiary.The anonymous source with blurred video and modified voice, in full US survey style, could not be missing, a consultant who explained that some contracts secreted by both Ferrari and ‘Alfa Romeo passes through the GSA, which sent this consultant the certifications of the taxes paid in the racing venues.
In Monza, however, the exception, with GSA which would have confirmed to the intermediary the non-payment of this withholding tax in Italy. However, this is absolutely legal according to the masked consultant, since those who have their headquarters abroad have no obligation to pay the withholding tax to the Italian tax authorities.
It is obvious that having a company in Switzerland relating to F1 brings an obvious tax advantage, as the Italian contribution wedge is higher than the Swiss one. In fact, companies can pay 5% on business income, instead of 24% in Italy. At the end of the episode Report correctly reports Ferrari’s statement: “GSA is in liquidation. They managed the relationships with the drivers of different categories, ensuring the economic balance with the related commercial revenues.
GSA was formed in Switzerland, because it is home to the largest sports federations such as FIFA, Uefa and FIA. It was also the most organized company due to the presence of professionals to protect the rights of sports professionals. GSA complied with all tax obligations in the countries that hosted the GPs (including Italy) “. At present it is therefore the Maranello team that directly manages the contracts of its drivers.
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