The contract with the other team would only take effect from year 2. For the first year we would have loaned him and they would be paying our wages is what I would assume.Why would we retain the registration if the players staying at his new club?
And regardless, in a circumstance where a player is staying put at the receiving club / never coming back, it’s not a loan and can’t be a loan because there’s no return and the clubs accounts will state the future income - as happens in sales where staged payments are received, which was what was described . . as a loan.