Ƶ

Contributions to grassroots sport

Produced by a Tolley Owner-Managed Businesses expert
Owner-Managed Businesses
Guidance

Contributions to grassroots sport

Produced by a Tolley Owner-Managed Businesses expert
Owner-Managed Businesses
Guidance
imgtext

Introduction to the relief

A payment made by a company which is qualifying expenditure on grassroots sport is allowed as a corporation tax deduction, subject to certain conditions. Without this specific legislation, a deduction would not otherwise be available on the basis that such a payment would not usually be made wholly and exclusively for the purposes of the trade.

The relief is given by way of a deduction from taxable total profits. It is given before group relief and group relief for carried-forward losses. It is not possible to create a loss by utilising this relief so spreadsheets used in tax calculations must be appropriately formulated to ensure total profits cannot be reduced below zero.

Where total profits have been reduced to nil, it is possible to make a claim for any surplus to be surrendered to another company

Continue reading the full document
To gain access to additional expert tax guidance, workflow tools, and tax research, register for a free trial of Tolley+™
Powered by

Popular Articles

Outright gifts

Outright giftsAn outright gift is the most straightforward type of gift. It simply involves the outright transfer of property from one person to another with no conditions attached.This type of gift is most suitable for clients who want to pass over modest amounts, or give to responsible and capable

14 Jul 2020 12:22 | Produced by Tolley in association with Emma Haley at Boodle Hatfield LLP Read more Read more

Short-term business visitors (STBVs)

Short-term business visitors (STBVs)What is a short-term business visitor?An STBV for UK tax purposes is an individual who performs duties for a non-UK employer and as a part of those duties has been asked to spend a short period working in the UK. There is a common misconception that there is

14 Jul 2020 13:40 | Produced by Tolley in association with Gill Salmons Read more Read more

Payroll record keeping

Payroll record keepingUnder SI 2003/2682, reg 97, “...an employer must keep, for not less than 3 years after the end of the tax year to which they relate, all PAYE records which are not required to be sent to [HMRC]...”. Reasons for keeping the records include:•being able to calculate tax and

14 Jul 2020 12:52 | Produced by Tolley in association with Ian Holloway Read more Read more