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Written question asked by Andy Reed (Labour) on Thursday, 21 May 2009, in the House of Commons. It was due for an answer on Monday, 1 June 2009. It was answered by Stephen Timms (Labour) on Tuesday, 2 June 2009 on behalf of the Treasury.

Taxation: Sports

Question
To ask the Chancellor of the Exchequer (1) what assessment he has made of the merits of uprating the trading and rental income thresholds for corporation tax exemption for clubs registered as community amateur sports clubs in line with inflation;
Answer

Income exemption thresholds for corporation tax for community amateur sports clubs (CASCs) are, along with all other income thresholds for tax, kept under review.CASCs are exempt from corporation tax on any trading income up to £30,000 and on income from property up to £20,000. Prior to April 2004, the limits were £15,000 and £10,000 respectively.The following tables shows what the thresholds would have been had they been increased in line with inflation.

Exemption for trading profits
Threshold (£) RPI (Percentage) Inflation linked threshold (£)
2004-05 30,000 — —
2005-06 30,000 2.63 30,789
2006-07 30,000 3.74 31,941
2007-08 30,000 4.12 33,256
2008-09 30,000 2.97 34,244
Exemption for rental income
Threshold (£) RPI (Percentage) Inflation linked threshold (£)
2004-05 20,000 — —
2005-06 20,000 2.63 20,526
2006-07 20,000 3.74 21,294
2007-08 20,000 4.12 22,171
2008-09 20,000 2.97 22,829

Secondary information

Type
Written question
Reference
493 c418-9W; 277686
Session
2008-09
Subjects
Corporation tax Tax allowances Sports
Contains statistics
Yes
Link
View this Written question on www.publications.parliament.uk