News – Autumn 2016
CASC rule changes reminder
Following the CASC rule changes that were brought in on 1st April 2015 which this newsletter has been providing updates on, some CASCs that were registered before this date have been sent notice of de-registration letters by HMRC.
HMRC sent a letter in 2015 to ALL CASCs that registered with HMRC before 1st April 2015. The letter outlined the changes and explained the action each CASC needed to take before 1st April 2016. If your CASC has not taken the appropriate action requested by HMRC in the 2015 letter to your CASC regarding the rule changes, it hasn’t received the 2015 letter regarding the rule changes at all or has any concerns regarding being de-registered please contact us immediately.
Gift Aid and Gift Aid Small Donations Scheme
Using Gift Aid is a great way for CASCs to generate extra funds for their club. A CASC is eligible to claim Gift Aid on donations from individuals. For example if an individual donates £100 to a CASC, the CASC can claim an extra £25 from HMRC (subject to conditions). CASC membership, playing fees and subscriptions do not qualify as donations. If your CASC is claiming Gift Aid successfully it can also use the Gift Aid Small Donations Scheme (GASDS) to claim back 25p in the £1 on small cash donations up to £20 to the CASC (subject to conditions) but without the paperwork required when claiming Gift Aid. We would like to hear from you on how you use the Gift Aid or GASDS scheme (both of which the Government is keen to encourage) to raise funds for your club. Please contact us here.
Business rates changes
Business Rates bill changes for all property owning sports clubs are coming on 1st April 2017. The Valuation Office Agency (VOA) has recently re-valued Rateable Values (RV) for all non-domestic properties (sports clubs including CASCs will have had their grounds re-valued). RV’s are used to calculate the clubs business rates bill. The latest revaluation was based on rental values as at 1st April 2015 and will come into force on 1st April 2017. A club can find out its new valuation here now. A club may want to consider appealing the new RV if a lower value can be justified but please be aware that the RV could increase or decrease as a result. A club may be able to appeal on the grounds of its ‘ability to pay’, details of which can be found here. Clubs should check and consider it’s new RV before appealing and will probably need to take professional advice if it decides to do so.
Business rates bills can be reduced by a mandatory 80% if the club is a CASC or charity. A club may also be able to reduce its bill by using small business rates relief. Relief on a discretionary basis may also be granted by your Local Authority. There may be other business rate reliefs available. As well as 80% mandatory rate relief CASCs and charities can receive a range of other benefits. Please see www.cascinfo.co.uk for further details.
Making Tax Digital consultation
The Government's Making Tax Digital consultation has now closed and the submitted responses are currently being analysed. This newsletter will report on future updates when available.