Golf!

calledtoaccount

I'm going to set up some finance processes for some friends who have just taken over running a 9 hole pitch and putt golf course.. Not sure about the VAT implications of this, and whether VAT is chargeable on the income? Have been searching Revenue & Customs Website, but can't find any guidance. The course is open to the public, but doesn't operate as a members club.. Any thoughts / guidance much appreciated!

jow774

http://customs.hmrc.gov.uk/channelsPortalWebApp/channelsPortalWebApp.portal?_nfpb=true&_pageLabel=pageLibrary_ShowContent&id=HMCE_PROD1_023656&propertyType=document

Try this link. Also try your local golf union or R&A. VAT is a bit of a grey area with golf clubs, but as a rule member owned ones dont pay VAT, privately owned ones do.

calledtoaccount

Golf!

Thanks for info - not sure this will apply as the course is "Pay and Play" rather than club with membership fees/subscriptions...

Will look further into it!!

Thanks

Neil

jow774

As I understand it, if its privately owned, above the VAT threshold and aiming to make a profit you pay VAT. If they are running it as a charity there is then a grey area.

calledtoaccount

Golf!

jow774 wrote: »

As I understand it, if its privately owned, above the VAT threshold and aiming to make a profit you pay VAT. If they are running it as a charity there is then a grey area.

That's what I thought!! Thanks for clarification... It still shocks me that people going into business don't even consider this sort of thing - they've been going a few months now and haven't even thought about bookeeping or speaking to an accountant...

JodieR

If they provide golf tuition then I don't think you need to account for VAT on income from lessons (but you will do on everything else). I don't know exactly what criteria need to be met for tuition to qualify as exempt from VAT though, you'll need to look into it.