The Frankfurt am Main tax office has retroactively revoked the non-profit status of the German Football Association (DFB) for 2014 and 2015. The DFB, which has just appointed a new director in the person of former football professional and 1990 World Champion Rudi Völler, is thus threatened with an additional tax payment in the double-digit millions. The tax authorities have accused the association of tax evasion in connection with income from advertising on stadium boards in the respective years. In a press release, DFB stated: “As a precautionary measure, the DFB had formed provisions in its budget for the resulting additional demands from the tax authorities.” The association reportedly has liquid funds in the three-digit million range.
The German public TV station ZDF reported that the DFB is forming additional reserves because of further tax-related transactions, which means that a deficit in the double-digit million range is to be expected in the balance sheet for 2021. The DFB is already taking legal action before the Hessian Finance Court in Kassel against the revocation of its non-profit status for the year 2006, which took place in 2017, resulting in a back tax payment of around €22 million. The tax authorities had accused the association of wrongly claiming payment of €6.7 million to FIFA for staging a World Cup opening gala in 2005 as an operating expense.
