Reports indicate that Carlo Ancelotti, currently manager of the Brazil national team, has become the latest prominent figure in football to face charges related to tax evasion in Spain. The former Real Madrid coach has been handed a one-year prison sentence and a fine of €386,361. The charge stems from his failure to pay taxes on income derived from image rights during the 2014 financial year, a period coinciding with his initial tenure managing Real Madrid.
Crucially, Ancelotti is not anticipated to serve any actual time in prison. This outcome is typical in Spain for sentences under two years, particularly for non-violent and first-time offenses. The case did not include charges for the 2015 fiscal year, as the court found insufficient proof of his residency for tax purposes after he relocated to London following his departure from Real Madrid.
The legal proceedings took place in the 30th Criminal Court of the Provincial Court of Madrid on April 2nd and 3rd. It was confirmed during the trial that Ancelotti has since settled the outstanding tax debt. His defense maintained that the responsibility for correctly withholding taxes lay with Real Madrid club officials and asserted that he had no deliberate intent to commit fraud.
Although Ancelotti returned for a second spell at Real Madrid in 2021 before reportedly taking the Brazil job in June 2025, the investigation focused solely on the earlier period. The Spanish Prosecutor`s office had initially sought a considerably harsher punishment, requesting a prison term of four years and nine months alongside a fine of €3.2 million. However, both the prison sentence and the fine were substantially reduced in the final judgment.
During his successful time with Real Madrid across both spells, Ancelotti notably secured three UEFA Champions League titles, among numerous other significant trophies.
