Carlo Ancelotti sentenced to One-Year jail term for tax fraud in Spain

A Spanish court has sentenced former Real Madrid manager and current Brazil coach, Carlo Ancelotti, to one year in prison for tax fraud dating back to 2014.

However, the Italian tactician will not serve any jail time as the sentence falls under two years and he has no prior criminal record.

Prosecutors accused the 66-year-old of creating a network of shell companies to conceal earnings from his image rights during his initial spell as Real Madrid coach in 2014 and 2015. The court said Ancelotti deliberately used “opaque structures and entities in tax havens” to evade over one million euros in taxes.

Although the prosecution initially sought four years and nine months in prison, the court eventually handed down a one-year sentence and a fine of 386,361 euros (about $452,821). Ancelotti denied knowingly committing any wrongdoing, claiming he was unaware the arrangement involving image rights would result in underpaid taxes.

The court, however, cleared him of similar charges for the 2015 tax year, ruling it could not confirm “beyond reasonable doubt” that Spain remained his fiscal residence in that period.

Ancelotti now joins a list of football greats previously convicted for tax offences in Spain, including Jose Mourinho, Lionel Messi, and Cristiano Ronaldo — all of whom avoided prison due to first-time offender status and suspended sentences.

One of the most decorated managers in football history, Ancelotti has won a record five UEFA Champions League titles as a manager and two European Cups as a player. He left Real Madrid at the end of last season to take up his new role as Brazil’s head coach.