Following previous communications sent in January 2023 and July 2023, with this new communication, FIFA would like to clarify an important aspect of the declaration of proof of payment and triggering of payments of solidarity contribution through the FIFA Clearing House (FCH).
As previously communicated, all payments of transfer compensation in the context of the transfer of a player must be declared in TMS in the corresponding transfer instruction by uploading the proof of payment in the instruction. This ensures that the corresponding payments of solidarity contribution are correctly identified and calculated by TMS, with the automatic generation of an allocation statement in the electronic player passport (EPP) of the transfer in question for each proof of payment uploaded. In this respect, we kindly remind you that the payment declared must correspond to 95% of the transfer compensation foreseen in the transfer agreement (cf. article 11.4 of the FIFA Clearing House Regulations).
Once the final solidarity contribution payment is processed and paid through the FCH, in accordance with the final EPP, in cases where there is a remaining balance of the transfer compensation to be paid, the so called “top-up”, the engaging club should make the payment of the remaining amount of the transfer compensation directly to the releasing club, following existent jurisprudence.
The following payments must ONLY be declared by uploading the proof of payment in the document category “Other” within the transfer instruction, and not in the “Payments” section of the transfer instruction:
Payments of solidarity contribution or training compensation made through the FCH
Payments of the remaining amount of the transfer compensation directly to the former club (so called top-up payments)
Reverse payments of transfer compensation (payments made by the releasing club to the engaging club)
The reason for uploading the proof of payments of these categories as “Other” is to exclude those payments that should not generate solidarity contribution from the EPP/allocation statement process. FIFA is working on updating TMS for clubs to be able to mark these types of payments and automatically distinguish them. TMS users will be informed once these changes have been implemented.
We would like to remind you that each proof of payment uploaded to a transfer instruction will trigger the generation of an allocation statement and as a consequence the payment of solidarity contribution. It is therefore important that payments that should not trigger solidarity contribution, as the ones listed above, are not declared in the “payments” section to avoid the wrong generation of allocation statements. As the engaging club, it is your responsibility to declare these payments correctly in the transfer instruction. Equally, please be reminded that the generation of allocation statements due to payments incorrectly declared may lead engaging clubs to having to pay additional solidarity contribution amounts.
See below an example on how to correctly declare payments and the “top-up” in TMS:
Finally, we would like to remind you that all payments of solidarity contribution within the regulatory framework of FIFA must be paid through the FCH, and may not be paid outside this process under any circumstances.
Thank you for taking note of this important information, which we hope has been helpful and clear.
Sonia Gusella
Following previous communications sent in January 2023 and July 2023, with this new communication, FIFA would like to clarify an important aspect of the declaration of proof of payment and triggering of payments of solidarity contribution through the FIFA Clearing House (FCH).
As previously communicated, all payments of transfer compensation in the context of the transfer of a player must be declared in TMS in the corresponding transfer instruction by uploading the proof of payment in the instruction. This ensures that the corresponding payments of solidarity contribution are correctly identified and calculated by TMS, with the automatic generation of an allocation statement in the electronic player passport (EPP) of the transfer in question for each proof of payment uploaded. In this respect, we kindly remind you that the payment declared must correspond to 95% of the transfer compensation foreseen in the transfer agreement (cf. article 11.4 of the FIFA Clearing House Regulations).
Once the final solidarity contribution payment is processed and paid through the FCH, in accordance with the final EPP, in cases where there is a remaining balance of the transfer compensation to be paid, the so called “top-up”, the engaging club should make the payment of the remaining amount of the transfer compensation directly to the releasing club, following existent jurisprudence.
The following payments must ONLY be declared by uploading the proof of payment in the document category “Other” within the transfer instruction, and not in the “Payments” section of the transfer instruction:
The reason for uploading the proof of payments of these categories as “Other” is to exclude those payments that should not generate solidarity contribution from the EPP/allocation statement process. FIFA is working on updating TMS for clubs to be able to mark these types of payments and automatically distinguish them. TMS users will be informed once these changes have been implemented.
We would like to remind you that each proof of payment uploaded to a transfer instruction will trigger the generation of an allocation statement and as a consequence the payment of solidarity contribution. It is therefore important that payments that should not trigger solidarity contribution, as the ones listed above, are not declared in the “payments” section to avoid the wrong generation of allocation statements. As the engaging club, it is your responsibility to declare these payments correctly in the transfer instruction. Equally, please be reminded that the generation of allocation statements due to payments incorrectly declared may lead engaging clubs to having to pay additional solidarity contribution amounts.
See below an example on how to correctly declare payments and the “top-up” in TMS:
Finally, we would like to remind you that all payments of solidarity contribution within the regulatory framework of FIFA must be paid through the FCH, and may not be paid outside this process under any circumstances.
Thank you for taking note of this important information, which we hope has been helpful and clear.
Best regards,
TMS Helpdesk