GovWire

Changes to rules for community amateur sports clubs (CASCs)

HM Revenue and Customs

March 27
12:01 2015

The changes

As a CASC you wont pay tax on:

  • trading profits if your turnover is less than 50,000 a year (30,000 before 1 April 2015)
  • income of up to 30,000 a year from renting out property (20,000 before 1 April 2015)

Income condition

Theres no longer a limit on the amount of trading income you can earn from members. The new income condition means that CASCs cant earn more than 100,000 a year from:

  • trading with non-members
  • property income

Payments to players

CASCs can pay players as long as they dont pay more than 10,000 in total to all their players in a single year.

Membership costs

There are new limits on fees and costs associated with membership:

  • Fees cant be more than 31 a week (1,612 a year)
  • If your clubs membership fees and sporting activity costs are more than 10 a week you must provide help, for example a discount to reduce those costs to 10 a week for people who cant pay more.

Expenses

Clubs can pay expenses for some matches and tours where players take part in and promote the clubs sport.

Participation

At least 50% of a clubs members must participate in sport at the club.

What you need to do

HM Revenue and Customs (HMRC) has published detailed guidance explaining how the new rules work. Its important that you read this to check whether your club meets the rules.

If you meet the new rules

You dont have to do anything.

If you dont meet the new rules

You have until 1 April 2016 to make changes to your club to meet them.

Your sports governing body may be able to help you.

If you cant meet the new rules

If you cant make changes to meet the rules, you can ask HMRC to take your CASC off the register.

As long as you met the rules before they changed on 1 April you wont:

  • be removed from the register until 1 April 2016
  • have to pay any charges

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