Athletics clubs play a valuable role in their communities. The CASC scheme recognises this important role by distinguishing between clubs and businesses for rates and tax purposes, ensuring money is kept in sports clubs.
Both property and non-property owning clubs can significantly benefit from the scheme. The key benefits of casc registration include:
- 80% mandatory business rate relief. Local authorities can offer up to 100% relief to clubs at their discretion.
- The ability to raise funds from individuals under Gift Aid. A registered CASC can reclaim up to £28 in tax for every £100 donated, though at the moment this does not apply to all types of donations.
- CASCs are exempt from Corporation Tax on profits derived from trading activities if their trading income is under £30,000 pa.
- Profits derived from property income are also exempt for CASCs if gross property income is under £20,000 pa, of particular relevance following the abolition of the nil rate band.
- CASCs whose income does not exceed these thresholds will no longer be required to complete an annual Corporation Tax return.
Relief on business rates alone are estimated by the Chancellor of the Exchequer to be worth £2000 per year. Whilst this only benefits facility owning clubs, non-facility owning clubs can still significantly benefit from Gift Aid and exemption from Corporation Tax.
To find out how your club can apply for the scheme visit applying for CASC.
How to Apply
Applying to become a registered CASC is a simple process. Clubs are required to submit a completed application form to HMRC with a copy of the club's constitution adhering to the criteria set out in the guidance notes. Additional guidance is available for multi-sport clubs.
We would recommend clubs potentially use the following process:
1.Read and discuss the guidance notes and options for your club to decide if CASC registration is the right choice.
KEY TIP: Why not contact a CASC registered club to discuss their experiences?
2. Look at your club's constitution. Is this an accurate reflection of the club's policies and does it fulfil the criteria set out in the guidance notes?
KEY TIP: Use the model constitution prepared by Bates Wells and Briathwaite as your guide and adopt policies if required.
Please note the model constitution will not apply to limited companies who are governed by their Memorandum and Articles of Association.
3. If you have had to adopt new policies ensure these are accepted through the club's formal procedures.
4. If you are happy that CASC registration is right for your club, and that your constitution is appropriate, complete the HMRC application form:
HMRC Charities
St Johns House
Merton Road
Bootle
Merseyside
L69 9BB
All of the documents required for CASC registration are available from www.cascinfo.co.uk
|
/
