§ Mr. ReedTo ask the Chancellor of the Exchequer (1) how many community and amateur sports clubs are registered for tax relief; [149366]
(2) what steps he is taking to promote the package of tax concessions available to community and amateur sports clubs; [149367]
(3) if he will estimate the number of community and amateur sports clubs eligible for tax concessions. [149368]
§ John HealeyIt is estimated that between 30,000 and 40,000 clubs might be eligible to apply for registration as a community amateur sports club (CASC). As at 16 January 2004, 587 CASCs had been registered. A list of registered clubs is published on the Inland Revenue website, and is updated on a monthly basis.
In the Pre-Budget Report (Cm 6042) the Chancellor announced the Government's intention to double the Corporation Tax thresholds below which registered CASCs are exempt from tax. This will mean that clubs with a trading turnover of less than £30,000 and gross property income of less than £20,000 will pay no Corporation Tax. The measure will be introduced in the next Finance Bill.
Clubs registered in England and Wales will also receive mandatory rates relief of 80 per cent. with effect from 1 April 2004. Local authorities can increase this relief to 100 per cent. at their own discretion. These measures will help clubs raise funds to improve facilities for participating in sport, by reducing the burden placed upon them.
The Inland Revenue, in partnership with the Central Council of Physical Recreation; Bates, Wells & Braithwaite; Deloitte & Touche and others, held a series of regional seminars in 2003 to promote the CASC scheme. The Inland Revenue continues to work closely with representative bodies to encourage awareness of the scheme among their members.
The Chancellor and the Secretary of State for Culture, Media and Sport also wrote to all Members of Parliament, including my hon. Friend the Member for Loughborough (Mr. Reed), in December, encouraging them to promote the scheme to amateur sports clubs in their constituencies.