HMRC have released a Brief in respect Members' golf clubs and other non-profit making sports clubs

HMRC’s brief outlines their revised policy following the recent CJEU decision in Bridport & West Dorset Golf Club. HMRC now accepts that supplies of sporting services to both members and non-members of non-profit making sports clubs can qualify to be treated as exempt from VAT. HMRC intends first to deal with repayment claims by members clubs who decide to reimburse non-members. Secondly, it will examine the scope for restricting repayments, on unjust enrichment grounds, to clubs who do not make such reimbursements.

HMRC now accepts that supplies of sporting services to both members and non-members of non-profit making sports clubs qualify to be treated as exempt from VAT. This is provided that the services are closely linked and essential to sport and are made to persons taking part in sport. HMRC will legislate by 1 January 2015 to reflect this.

HMRC will ensure any future changes comply with the decision of the CJEU.

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