Brazil’s national team coach Carlo Ancelotti has been handed a one-year suspended prison sentence and fined €386,000 ($452,000) by a Madrid court for tax-related offences during his time as Real Madrid manager in 2014.
The court ruling, delivered on Wednesday, determined that Ancelotti failed to declare income from image rights during his first stint at the Spanish club. However, under Spanish law, the Italian coach will not serve jail time due to the non-violent nature of the offense, the sentence being under two years, and his lack of prior convictions.
Spanish prosecutors had sought a harsher punishment, requesting up to four years and nine months behind bars across two counts of tax fraud. The allegations claimed Ancelotti concealed nearly €1 million in earnings for the years 2014 and 2015.
The court ultimately acquitted the 66-year-old of similar charges in 2015, citing insufficient evidence that Ancelotti was present in Spain long enough during that period to be liable for tax. Following his departure from Real Madrid in May 2015, Ancelotti relocated to London.
Ancelotti, one of the most decorated managers in football history, has not personally commented on the verdict. However, a staff member close to the coach told The Associated Press that his legal team “welcomed the court’s decision.” The source requested anonymity due to not being authorised to speak publicly.
The ruling places Ancelotti among a growing list of football figures targeted by Spanish tax authorities in recent years. While stars like Lionel Messi, Cristiano Ronaldo, and Jose Mourinho have all faced scrutiny, none have served jail time. Most resolved their cases through settlements involving substantial fines. Notably, former midfielder and current Real Madrid coach Xabi Alonso was acquitted in 2023 after successfully contesting similar accusations.
Earlier this year, Ancelotti addressed the charges in court, stating: “I never thought about committing fraud.” He explained that Real Madrid had offered him a net salary of €6 million and that the financial structuring was handled by his advisers. “I thought it was quite normal because at that time all the players and the previous coach had [done the same],” he said. He fully repaid the owed amount in December 2021.
Ancelotti, who recently concluded a second spell in charge of Real Madrid after a trophyless 2024–25 campaign, is now leading Brazil’s national team. His illustrious coaching resume includes five Champions League titles, three with Madrid and two with AC Milan, and domestic league triumphs in five different countries: England, Spain, Italy, Germany, and France.
Featured Image Credit: Instagram / @mrancelotti