Italian Tax Probe Targets Current F1 Drivers

Italian financial police have opened a wide-ranging probe into the tax affairs of every current and recent Formula 1 driver, raising the prospect that some of the sport’s biggest names could face criminal charges if significant unpaid taxes are uncovered.

–by Mark Cipolloni–

The investigation, led by the Bologna branch of the Guardia di Finanza (Italy’s financial police), centers on income earned by foreign drivers from races held on Italian soil — primarily the Italian Grand Prix at Monza and the Emilia-Romagna Grand Prix at Imola, with some references to the 2020 Tuscan Grand Prix at Mugello. According to multiple reports, including detailed coverage from RacingNews365 and GPblog, authorities have already begun contacting drivers directly by letter.

Drivers have been asked to submit tax returns for the 2025 tax year and to make contact — either personally or via a representative — to discuss their obligations. The probe also extends retroactively where legally possible, with the Guardia di Finanza seeking detailed access to driver contracts and sponsorship agreements to calculate exact earnings attributable to Italian events.

Why Now? A Long-Dormant Rule Being Enforced

Under Italian tax law, non-resident athletes (including F1 drivers, who are technically treated as freelancers rather than employees for these purposes) are required to declare and pay taxes on income generated from sporting activities within the country. While this has been on the statute books for years, enforcement has historically been inconsistent or lax for Formula 1 personnel.

The current clampdown appears to have been prompted by a formal request from Italian lawyer Alessandro Mei and a mandate from the Italian Court of Auditors. The Bologna-based newspaper Il Resto del Carlino first reported the Guardia di Finanza’s actions a few days ago.

Both drivers and teams based outside Italy are under scrutiny. Teams are generally expected to withhold and remit the appropriate taxes on behalf of their drivers, but responsibility ultimately falls on the individuals in many cases. Italian teams such as Ferrari and Racing Bulls (VCARB) are understood to be in a different position due to their domestic status.

The Criminal Threshold

The stakes are high. Under Italian law (Article 10 of Legislative Decree No. 74/2000), if the amount of unpaid tax for an individual exceeds €50,000, it is automatically classified as a criminal offence. In addition to recovering the back taxes, authorities can impose substantial fines. Even below that threshold, significant administrative penalties and interest could apply.

Sources indicate the potential sums involved could run into hundreds of millions of euros across the grid if the investigation covers multiple seasons and all relevant income streams.

Administrative Action — For Now

Both RacingNews365 and GPblog stress that this remains an administrative inspection at this early stage. No criminal investigation has been formally opened, and no charges have been filed against any driver or team. The letters sent to drivers are requests for information and compliance rather than accusations.

Formula 1 has not yet issued an official statement, and there have been no public comments from drivers or team principals as the story broke within the last 24–48 hours.

Broader Context

This development comes at a time when several countries are tightening enforcement of tax rules on high-earning athletes who compete on their soil (similar systems exist in Australia, the UK, and the United States). Italy, home to two historic F1 rounds and a passionate motorsport fanbase, is now taking a far more aggressive stance on revenue it believes is owed.

Whether the investigation results in major financial settlements, fines, or — in the most serious cases — criminal proceedings remains to be seen. For now, every driver on the current grid (and many recent alumni) is being asked to open their books and justify their Italian tax position.

The story is developing rapidly. AutoRacing1.com will continue to monitor for updates from the Guardia di Finanza, F1 teams, and any official responses from the drivers involved.