Rossi Faces 2.5 Million Euros In Unpaid Accountants Bills

2007 was a very difficult year for Valentino Rossi. In addition to being outclassed by a blisteringly fast Australian on a Bridgestone-shod Ducati, the Italian faced a gargantuan 112 million euro tax bill from the Italian authorities, who claimed that Rossi had actually been living in Italy while claiming to be resident in London. Early in 2008, Rossi reached a settlement with the Italian tax authorities, agreeing to pay around 30 million euros in back tax, a move which also allowed him to move back to Italy and live in Tavullia amidst his friends and family. Peace and stability had returned to Rossi's existence.

That tranquility is about to be rudely interrupted. According to reports from the Italian press agency ANSA.it, Valentino Rossi is about to be sued by his accountants, the very people who got him out of his previous tax troubles. The accountants firm Cesaroni-Cappellini are claiming that Rossi owes them between 1.7 and 2.5 million euros in fees. The firm claim that their agreement with Rossi include a clause granting them between 1% and 1.5% of the money they managed to save him in taxes. As the reduction in Rossi's tax bill they are claiming to have achieved is around 170 million euros, that would leave Rossi with multi-million euro bills to pay.

The firm of accountants told ANSA that they were "very disappointed" at being unpaid after saving Rossi such a significant amount of money. According to GPOne.com, Massimiliano Tasini of Cesaroni-Cappellini's Pesaro office said that the firm had kept a low profile so far, to avoid damaging the reputation of the reigning World Champion, but they could no longer let the situation stand. Tasini described the amount owed by Rossi as "infinitessimally small" in relation to their entire annual turnover, but said that the amounts they had saved Rossi were significant.

The firm is due to issue a press release on Monday containing full details of the case, and will be presenting the case to the Italian Order of Accountants. If the Order finds in Cesaroni-Cappellini's favor, Rossi would have 40 days to appeal against the ruling.

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Comments

That's just typical of the parasitic greed mentality of the professional financial sector. Lets say they invested 200 hours into Rossi's affairs at say EUR300 per hour (an astronomical rate for laymen but probably fairly standard for this industry) That would equate to around EUR60,000. Whatever happened to a fair days wage for a fair days work? I hope Rossi didn't have the percentage clause mentioned.

Motorcycles fall over if you don't go fast

regardless of contractual obligations, if they saved rossi 170 million euros then a 2 million euro fee is perfectly reasonable. a 1-2% charge seems like a pittance. he should gladly pay it.

i think if anyone could be accused of greed it is rossi, trying to play a tax dodging game he had no need to.

doesn't he get $2M for a monster sticker on the chinbar of his helmet? that is crazy. you could run a 2 man moto2 team for the same price. i wonder how many teams are struggling (and gone- KR) because sponsors would rather get a small sticker on rossi's leathers than completely support a non-rossi team for a season?

chris

I doubt the greed is on the accountant's side. Large professional firms (law or accounting or otherwise) require a lot more than the associates or partners time. Many support people are employed from admin assistants to janitors. They are businesses depending on clients to pay their bills. Many of these firms are struggling because of less business as well as clients that may not be making timely payments.

I was running a business, I'd put a 2 million dollar sticker on Rossi before spending 2 million dollars on a whole team that gets a 100 times less eyeballs on it than the 2x2 inch decal. But If I won the lottery tomorrow, I'd sponsor a team in 125s, moto2 and maybe World Endurance just for fun and to be a big shot!

The article is not quite accurate, Valentino Rossi started some times ago an inquiry to verify that the amount requested but that firm is according the italian accountant bond, there are very precise rules unfortunately overlooke by greedy accountant firms. Whenever the Accountant Bond of Italy will replay to Valentino he will pay accordingly.

The fact is that the definiiton on how much the accountant firm has made Valentino pay less is also incorrect as it is incorrect the 110 milion euro extimated amount Rossi had to pay to the italian tax authorities. Thsi figure come out fomr the usual gossip press not from the tax because if they pass this informaiton to anyone except Valentino Rossi he might start a criminal action aginst them.

As traditional rule you pay the accountant firm working for you a certain percentage of the amount you shall pay to the tax authority not the percentage to the theoretical amount you might have any way never payed.

Furthermore it si also anusual that the tax authority in Italy wait 5 year before to decide that you did not paid the due taxes ... tink before to write.