CTM09520 - : Relief for expenditure on grassroots sport: eligibility for Deduction: qualifying sport body
A ‘qualifying sport body’ is defined in CTA10/S217C (1) and (2) as one of the following:
- A recognised sport governing body, as defined in the list of sport governing bodies maintained by the National Sports Councils. The National Sports Councils comprise the following: the United Kingdom Sports Council, the English Sports Council, the Scottish Sports Council, the Sports Council for Wales and the Sports Council for Northern Ireland;
- A body which is wholly owned by a recognised sport governing body (i.e. a wholly owned subsidiary).
The Treasury may make regulations to amend the meaning of a ‘qualifying sport body’ and to designate bodies to become qualifying sport bodies – CTA10/S217C (3).
The regulations may designate bodies by reference to a list maintained by another body – CTA10/S217C (4), for example the national Sports Councils listed at CTA10/S217C (5).
Any regulations made to designate additional bodies that are made before 1 April 2018 may take effect from an earlier date, but not earlier than 1 April 2017 – CTA10/S217C (6). This does not apply to regulations that change the meaning of a qualifying body: such regulations can only take effect from a time after they are made.
A ‘qualifying sport body’ will be able to deduct all payments that are ‘qualifying expenditure’ – CTA10/S217A (3). Other CT payers (companies other than qualifying sport bodies) will be able to deduct all ‘qualifying expenditure’ which is made through qualifying sport bodies (CTA10/S217A (4)(a)), and up to £2,500 annually (as set in F(2)A17) for other ‘qualifying expenditure’ made to facilitate grassroots sports – CTA10/S217A (4)(b), (7), (8) and (9).