Golf Membership - Tax & VAT

[keepercrouch]

Good Evening,

Hopefully you can help me. I am joining my local golf club in the midlands and are looking at the way in which I process this through my business accounts.

My company is a limited company and VAT registered. I was wondering if you can help with the following points:

1) When putting it in accounts does it come down as "benefit in kind payment" or "Subscriptions" I understand I am liable for P11D tax etc, but don't want the business to also be hit so
2) Am I able to claim back the VAT on the monthly subscription? Or maybe even 10%
3) The golf course will be making the invoices directly to the businesses name

Any help will be excellent at this time also any advise from you lovely people in keeping the tax down would also be a great help.

 

[ethical PR]

The best way I find of ssaving tax is to invest in using an accountant.

 

[Paul Kelly ICHYB]

You are getting confused between VAT and BIK, two different things and questions!

 

[David Griffiths]

Even in the business name you cannot recover the VAT, as it will be disallowed as entertainment.

The company will get a corporation tax deductions for the full amount.
It will be taxed on got as a benefit in mind at your marginal tax rates and the company will pay class 1a nic, both on three fill bat inclusive amount.

 

[Chris Ashdown]

Why on earth complicate life with this. its obviously no benefit to the company and just the sort of thing that if found in a investigation could cause a investigator to look deeply at all your accounts for any other dubious items

 

[UK Contractor Accountant]

Many businesses offer their employees membership of a sport/health club as part of their remuneration package.

If the offer of membership is available to all employees then I believe the vat charge can be claimed back.

As above the company will secure a corporation deduction for the expenditure with the employee having a P11d benefit on the vat inclusive amount.

 

[Simon Lavender]

Hi,

Not certain. Apologises, but if you fancy a game, I'm up for one

 

[JamieM]

Many golf clubs are not-for-profit organisations owned by the members and the subscription fees are VAT exempt so you might want to check that too.

 

[Simon Lavender]

Indeed, Sonning is private, as is Hennerton, fantastic courses.