Club find themselves in trouble with taxman over Arsenal transfer

Ajax hit with 75% tax bill by Dutch authorities after paying Jurrien Timber a nine percent transfer bonus when he joined Arsenal for €40m in 2023.

Ajax have been caught in a dispute with the Dutch Tax and Customs Administration over payments made to Jurrien Timber following his 2023 move to Arsenal. When Timber left for the Premier League, Arsenal paid €40m for the defender. During his final contract extension at Ajax, Timber had negotiated a clause entitling him to nine percent of any future transfer fee, rising to 13.5% if the fee exceeded a certain threshold. Ajax duly paid out the agreed bonus.

However, Dutch authorities then issued a substantial tax assessment under the 'Bos Tax', a fiscal measure that imposes a 75% levy on employers paying out severance packages exceeding an employee's annual salary. Originally designed to curb excessive executive bonuses, the regulation also applies to football clubs. Ajax challenged the ruling in court but were unsuccessful. The District Court of North Holland's decision was published in October.

Ajax have now paid the bill but reject the ruling, arguing the regulation unfairly disadvantages Dutch clubs compared to foreign competitors and fails to account for football's realities. PSV and Feyenoord have faced similar assessments. The legal battle continues.