Soccer Needs NBA-Style Luxury Tax for Richest Teams, Report Says

Soccer’s richest clubs such as Real Madrid and Manchester United should pay a levy on bigger transfer fees to address a revenue-sharing system in the sport that’s “skewed” in their favor, according to a report commissioned by the European Commission.

Europe ruling body UEFA adds to “existing supremacies” in the sport by redistributing less than 6 percent of revenue from the elite Champions League to teams that don’t qualify, according to a copy of the report by Brussels-based policy consultancy KEA European Affairs. The U.S.’s National Basketball Association has a so-called luxury tax for teams above a certain payroll, the report says.