Tax Breaks

k_marie_2

Hi, Can anyone advise me on tax breaks for sports clubs, in particular junior football clubs?

fengirl_2

They should be set up as a properly constituted association in which case it would not be liable to tax on any excess made. If they set their objects to be charitable, they could even register as one.

johnllew

Gift Aid may be available:

Gift Aid for Community Amateur Sports Clubs

Individuals who are UK taxpayers can make monetary gifts to sports clubs that have registered with HM Revenue & Customs (HMRC) as Community Amateur Sports Clubs (CASCs) using Gift Aid in much the same way as they can make gifts to charities.

Gift Aid is available for voluntary donations of money and not for payments for goods and services such as for the personal use of sports facilities. Unlike charities there are no circumstances in which membership subscriptions to a CASC can qualify for Gift Aid. Only voluntary donations from members can count.

Gift Aid is an easy way to help your CASC maximise the value of its donations, as you can reclaim tax from HMRC on the 'gross' equivalent (its value before tax was deducted) at the basic rate. This is 20 per cent from 6 April 2008. You can work out the amount of tax you can reclaim by dividing the amount donated by four. This means that for every £1 donated, you can claim an extra 25 pence.

In addition, HMRC will automatically pay your CASC a further three pence for every pound - this ‘transitional relief’ - to adjust to the fall in basic rate tax (from 22 per cent to 20 per cent) is available from 6 April 2008 until 5 April 2011. This means that for every £1 donated, your CASC can claim 28 pence, so the total value of the donation is £1.28.

As well as benefiting your CASC, if a donor is a higher rate taxpayer, they too can benefit from tax relief as they can claim the difference between the higher rate of tax at 40 per cent and the basic rate of tax at 20 per cent on the total value of the donation – a total of 20 per cent. So if £1 was donated, the gross donation would be £1.25, so your CASC could claim 25 pence back (20 per cent of £1.25).

http://www.hmrc.gov.uk/charities/gift_aid/casc.htm

k_marie_2

Thanks for info.:beer: I am part of a committee for a childrens football team with some 200 players. We are looking at ways to cut our outgoings and increase incomings, just like everybody else really.

We have done all the usual things renegotiated/found alternate suppliers/venue hire, and generally tried to cerb our spending.
I am looking into whether we are a registered charity or not, I need to check this out as most of us are newly appointed members of committee this not be mentioned & the gift aid is definately something we could do.

The other thing I am going to look in to is grants/funding :eek: its just knowing where to start.