The Nigeria Football Federation (NFF) has broken its silence after contract talks with Bruno Labbadia collapsed on Friday.
The federation has now claimed that an agreement could not be reached because of stringent regulations of German tax authorities.
“We have been on the tax issue for the past three days, and I told him clearly that there was no way the NFF will agree to offset the concomitant tax percentage on his salary that will be demanded by German tax authorities.
“It is not possible for us to shoulder the responsibility of shelling out another money, between 32% to 40% of his salary, after paying the agreed monthly wage.
“The NFF and Mr. Labbadia reached an agreement in principle before we made the announcement that he would become the Head Coach of the Super Eagles.
“The tax details were never part of our discussions, and he had personally agreed to all terms before the tax issue came up.
“We were doing our best to be flexible in the discussions but he was adamant that the NFF had to pay the full tax amount as well. We simply cannot do that,” President of NFF, Ibrahim Musa Gusau, told the nff.com on Friday evening.
The NFF announced on Tuesday announced that Labbadia will take charge of the Super Eagles.
German publication, Kicker however reported on Friday that the 58-year-old has turned down the job.
