As you all know Bridport and West Dorset won a case in the European Court to say that green fees as well as membership fees are VAT exempt. Disaster. And they claimed a refund of VAT from 1990. With all member-owned clubs making claims the total VAT refunds to the supposedly NON-PROFIT MAKING members clubs could total £500 million. A true disaster for us. AGCO is fighting this tooth and nail. Bridport failed to tell the judge that many of their green fees were through agents like teeoffteimes. We say those fees shouldn’t be VAT exempt. They also failed to tell the judge that their figure for “green fees” included corporate days like Agustawestland Ltd – helicopters. We say Bridport and KPMG hoodwinked the judge. We say those fees shouldn’t be VAT exempt. Members’ clubs think they should. We have a battle on our hands but are forcing our way into a VAT tribunal if necessary to fight this. We are on the case with HMRC. HMRC’s press release on 25th June says they will pay back VAT if clubs give it back to the punters! That’s Phase One. They say they are now looking at all individual claims and HMRC is at last on the ball with the income from green fees and corporation tax. Let’s hope the Bridport case backfires on some of the greedy claimants. Perhaps at last they will get caught for corporation tax and fiddling their CASC registrations!
VAT – nearly there!
After 20 years we think we may have got the VAT distortion cracked. We are pushing for Reduced Rate of 5% for the whole of sport. It’s allowed by Europe and that’s the UK rate. AGCO has a case before the European Commission asking them to take proceedings against the UK to say the UK is breaking the law with its VAT distortion. Our case is proceeding. We could now do with counsel’s opinion from a really top VAT barrister and we have sent papers to Melanie Hall QC who is one of the most respected of all. She has the papers and we need to fund raise. We need £48,000. Please read the attached and get fundraising – AGCO Fundraising July 2014.
We say England Golf, KPMG and the UKGCOA are misguided in funding a report for KPMG to prove there is distortion. That’s already been proved and HMRC fought Bridport on the basis that there is distortion. So what a waste of money to give KPMG even more dosh! And as for 5% for golf alone – that is too far-fetched to be taken seriously! No it must be for the whole of UK sport – and that’s a total of 118 sports.