New CASC Rules Published 1st April 2015

The new CASC rules and HMRC detailed guidance came into force on 1st April 2015. HMRC have been clearing the backlog of applications for CASC status they placed on hold in anticipation of the new guidance being published. If your club's application had been placed on hold then you should have received a letter from HMRC for the club to reply to. If your club is in this position and hasn't heard from HMRC, the club should contact them immediately on 0300 123 1073 but make sure in doing so it is the club's Authorised CASC Official.

Existing CASCs

Around half of all existing registered CASCs mainly in the sports of football, cricket, lawn tennis and golf should have recently received a letter from HMRC inviting them to complete and submit a 'CASC Self-Assessment Checklist' to confirm they are complying with the new rules. Other existing CASCs should also review the new qualifying conditions to check they comply with them. There is a grace period which ends on the 1st April 2016 prior to which any CASC that cannot comply with the new conditions can exit the scheme without the penalty that would normally apply. This is provided the CASC had been complying with the old CASC rules. Please see here for a short general guide to the new rules for existing CASCs including HMRC guidance on coming out of the scheme without penalty.

New Tests

Facility owning CASCs in particular should check they comply with the new £100,000 per annum limit on non-member income test. If a CASC has more than this it has to set up a trading subsidiary to remain in the scheme. CASC's with high numbers of junior, parental or family memberships should look carefully at the 50% participating members test to check they comply. CASC's with high costs of participation over £520 per annum will have to ensure they offer alternative provision for those who cannot afford to fully participate in the sport.

Take action now

Existing CASCs should take action now as they have until 1st April 2016 to ensure they are complying with the new rules. CASCs should also ensure they keep HMRC updated with any relevant changes at the club, for example, changes to the Authorised Official registered with HMRC and the club's address.

For further information please see www.cascinfo.co.uk. If you have a query or would like to sign up to the Newsletter please contact us.