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EFL tax war: HMRC demanding huge sums from struggling Football League teams which could leave clubs struggling to pay players next month

Football League clubs are locked in a battle with HMRC over tax demands for up to hundreds of thousands of pounds that could leave them struggling to pay players next month.

Sportsmail has learned that, having granted clubs a four-month payment holiday from VAT and PAYE at the start of lockdown, the Government are now demanding that the unpaid bills are settled in one lump sum.

This adds to the clubs’ financial problems at a time when they remain without gate receipts and have yet to receive a bailout from the Premier League.