Sir Chris Hoy defends his tax arrangement Published on Saturday 23 June 2012 15:21 SCOTTISH cyclist Sir Chris Hoy has defended his tax arrangement after reports he received a loan from his own company. Olympian refutes newspaper allegations about his tax payments Sir Chris Hoy repaid a loan from his own company Cyclist's comments come in the wake of scandal involving comedian Jimmy Carr Sir Chris - Britain's most successful Olympic cyclist - today denied that he or his company disguised remuneration. The Edinburgh-born star also insisted that he takes his responsibilities as a taxpayer "as seriously as I do as an athlete." The Olympian said he took a loan from his company in 2010 but said it was repaid in full in October 2011, adding that the practice is standard in most small companies in the country. "The dividends that I took to repay the loan were in fact taxed at the highest rate," he said. I saw an opportunity to buy property and with the guidance of my advisers I borrowed money from my company to do so. The loan was subsequently repaid shortly thereafter by declaration of fully taxable dividends. Everything I have done is as a UK resident, and is UK taxable and not offshore. The sports star, who carries the Olympic flame as it passes through Manchester, said he felt compelled to respond when The Guardian published a story about his financial affairs. His income-generating activities are organised through a UK-registered tax-paying company, and as such his finances are transparent and in the public domain, he pointed out. Sir Chris, 36, whose firm is Trackstars Limited, has received lottery funding. This stopped in October 2008 however. "I am very proudly British and my responsibilities as a British sportsman do not stop once I step off the bike," he said. I take my responsibilities as a taxpayer as seriously as I do as an athlete. His unusual decision to speak out about his financial affairs comes after comedian Jimmy Carr hit the headlines for using a complex scheme to avoid paying HM Revenue and Customs. David Cameron joined a chorus of criticism of Carr whose tax arrangements were disclosed in The Times on Tuesday. Describing them as "straightforward tax avoidance," the Prime Minister said it was unfair on the people who pay to watch the comic perform that he was not paying his taxes in the same way that they did. On Thursday Carr bowed to pressure and issued a statement apologising for his actions, saying he had "made a terrible error of judgment." It was also alleged this week that Take That stars Gary Barlow, Howard Donald and Mark Owen, and the band's manager Jonathan Wild, invested at least £26million in a scheme run by Icebreaker Management Services which says it works within the law. Sir Chris said he hopes the claims about his own tax affairs did not affect "the British support I know I will need to perform at my best in London." He will carry the torch into Manchester city centre after it travels from the Lancastrian coast on day 36 of the relay.