That summer, Ferguson made his first signings:
Crucially for PSG, the test is retrospective and is based on the accounts for the three previous seasons.
We should probably disregard the stories about Barcelona asking UEFA to carry out an immediate FFP investigation; for one thing, there is no facility within the rules for one club to lodge an appeal against a potential breach of the FFP rules by another club, before an FFP Break-Even test has been failed.
If the fee were to be paid by the Qatar Tourist Authority for example, there would be some interesting implications. If the transaction took place entirely outside PSG accounts, the the purchase would not appear in the club accounts.
The transaction would be captured under the RPT rules and a fair value applied to the transaction i.
See extract of the rules: Interestingly, if the contract fee were paid direct by QTA and not put through PSG accounts, then presumably there would be no amortisation in the club accounts. PSG would then buy Neymar on a 5 year deal from Barcelona. Of course the club will attract some additional genuine sponsorship and might be able to make some trading profit on player trading.
However, the numbers look too big to plausibly achieve.
It is interesting to ponder what sanction the club might receive when they fail the test. Although UEFA have made all efforts to help clubs get over the FFP Break Even line, and have been determined to avoid issuing harsh punishments, things could be different this time.
The Break Even test will be carried out near the end of the next season around the time of the semi-final — at that time UEFA would also be able to eject them from the competition if they are still in it.
I am particularly grateful to Mike Thornton twitter: AdrianTeakdesk for identifying the issue and for his input into this new article. There are a number key changes: All the information has to be with the Football League by the 1 March. The Football League have confirmed that they are aiming to have any punishments announced before the end of the season.
Rule confirmation text supplied by Football League: This can be summarised in a table for this season: But what are the potential punishments? With this change, a wide range of punishments are now available. Nothing is off the table; the Football League are now able to impose a points deduction during the current season, or demote a club from an automatic promotion position into the play-offs or out of the play-offs altogether.
Transfer embargoes are also available with the earliest one potentially applying during the Summer Transfer window. Moving from an assessment over one season to an assessment over three seasons has presented some challenges.
Interestingly, rather than introduce the changes on a staggered basis, the Football League has introduced the change in one go. The following table illustrates how the maximum permitted loss for Championship clubs is dependent on the league they were in during the two previous seasons.
The following table illustrates how the maximum permitted loss for Premier League clubs is dependent on the league they were in during the two previous seasons. There are probably two clubs worth discussing: The club maintain that they will pass the FFP test so it appears that they will be able to exclude sufficient costs to enable them to get over the line.Although there were varying reasons for their dissatisfaction, the catalyst for F.C.
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