Sporting Tax

FEW TAX ADVISERS will not have changed at least one appointment in recent months to accommodate a sporting fixture the 7.30am kick-offs in the World Cup providing an ideal excuse to put back the first meeting of the day to 10am!

So while much of the nation is enjoying a bumper summer for sport it would be a good time to look at some of the key VAT planning points concerning sports clubs. The complex nature of some of the VAT rules gives plenty of opportunity to give added value to clients.

The basics

As with any value added tax planning project there are only two key objectives: to reduce output tax payable to Customs and Excise or to increase input tax that can be recovered.

The first question to consider is whether a club should be VAT registered and if not ...