England manager Fabio Capello is being investigated for the non-payment of tax on 10 million euros ($A16.72 million) of his earnings, Italian media reported today.
The inquiry, which was opened some months ago, is investigating earnings Capello received during his time at Roma and Juventus, according to Il Giornale newspaper.
Capello is being investigated in Turin because that is where he is still fiscally registered, having undertaken his last coaching post in Italy with Juventus.
He is suspected of not having paid tax on sponsorship payments and of diverting earnings to a Luxembourg-based company called Sport 3000, supposedly to avoid paying taxes in Italy.
Turin prosecutors are also still looking into Juventus's books as investigations are ongoing into the affairs of former Juventus bosses Luciano Moggi, Antonio Giraudo and Roberto Bettega.
In England a Football Association (FA) spokesman said they were aware that Italian tax authorities were "looking into the finances of a number of high-profile individuals".
"We have spoken to Fabio and his advisors about today's newspaper reports in Italy and they have explained the facts," he said.
"They have also given us their assurances that Fabio Capello's tax payments are in order. The FA have no further comment to make on this subject."
Capello released a statement on Wednesday: "With my advisors, I have always endeavoured to conduct my financial business with integrity.
"I have assured The FA today that my finances are in order and that I am not aware of any matters which would be of concern.
"I understand that these inquiries in Italy are part of a wider investigation into the finances of many high-profile individuals."
Capello's son Pier Filippo Capello, a lawyer, claimed his father had nothing to worry about.
"We're totally calm," he said.
"This amounts to a fiscal audit regarding a control of Juventus's books, which has been going on for some time and everyone knows about it.
"The fact remain that it has always been the case in such situations that the accounts of high-profile personalities are also looked into when we're talking about substantial sums.
"One reason for this is that these personalities, such as my father, often change their place of residence due to their work."
Capello junior also claimed that certain of his father's monies were put in trusts and that he had no control over what happened to them thereafter and hence could not be held accountable for what a bank (trustee) did with his money.
Capello was last month named the England manager after Steve MacLaren was sacked for failing to guide the team to Euro 2008.
