Jose Mourinho has reportedly accepted a one-year prison sentence over tax evasion, but will not serve the term under Spanish law.
He is unlikely to spend any time in prison, as Spain usually does not enforce sentences of less than two years.
The Portuguese national was accused of owing Spanish tax authorities nearly €3.3m (£2.9m).
In addition to the suspended sentence, he will pay a reported €2m in fines.
The offences related to undeclared income around image rights while he was managing Real Madrid in 2011-2012.
Mourinho had previously played down the case, insisting he had left Spain with the “information and conviction his tax situation was perfectly legal”.
He told reporters in November 2017: “I answered, I didn’t contest it, I paid and I signed an official agreement with the state under which everything was definitively closed.
“That’s why I’ve been here five minutes today to say to the judge exactly what I’m telling you.”
Mourinho was sacked as manager of Manchester United in December after overseeing the Red Devils' worst-ever start to a Premier League season.
The Portuguese is yet to return to management since being dismissed by the Old Trafford hierarchy.
Following his departure, United have gone on to win nine and draw one of their 10 games under caretaker boss Ole Gunnar Solskjaer.