'Beckham Law' in Italy set to end amid concerns for Serie A transfers

The law, which is officially known as Crescita Decree, allows high-income earners from foreign countries to have a 50 per cent discount on their tax bill.

The law is thought to be an appealing lure to attract foreign footballers to the Italian leagues.

However the rule has been scrapped after discussions in the Italian Council of Ministers.

The tax decree was named the 'Beckham Law' after being introduced in Spain when high-income foreign earners paid just 24 per cent income tax for their first six years in the country.

Beckham, who joined Real Madrid in 2003, became one of the notable early recipients of the reprieve.

READ MORE ON SERIE A

Man City failed with biggest transfer attempt in history as shirt dangled from window

Varane 'set to leave Man United in summer' and tipped for move to Italy or Saudi Arabia

The change will come as a big shock to clubs in Serie A who have been critical of the proposal to scrap the agreement in recent months.

In November, AC Milan's CEO Giorgio Furlani said: "Stopping the benefits of the Crescita Decree will be the destruction of Italian football."

Lazio president, Claudio Lotito, added: "They [the government] will realise their mistake. The state will not receive money either.

"If you attract a foreigner who pays taxes in Italy, it will be better than one who does not come and pays nothing, right? Our league will lose competitiveness!"

Most read in Football

Palmer joins elite Chelsea club alongside Hazard and Robben with latest goal

Liverpool legend in disbelief as key Chelsea star linked to shock transfer

Exclusive commentary of Luton vs Chelsea as Premier League rivals clash at Kenilworth Road

Tottenham ramp up January transfer plans with defender and midfielder targeted

With clubs in Italy already struggling to compete financially with others from England, Germany and France, it remains to be seen how big a role the rule change will have on Serie A's fortunes.