The Community Amateur Sports Club Scheme (CASC)
There is a scheme called the Community Amateur Sports Club Scheme (CASC) that means your club can get rate relief and claim back gift aid on donations or from fundraising. Eligible sports clubs are given a range of tax relief’s similar to those enjoyed by charities, without taking on the full regulatory responsibilities imposed on charities. This includes in particular the ability to claim Gift Aid on donations of 28p on every £1 donations made to the club, mandatory rate relief at 80% and exemption from Corporation Tax and Capital Gains Tax under certain conditions.
By March 2007, the CASC scheme had 4267 registered sports clubs. The cash benefit of the scheme to date has been estimated at £18.5 million - this is money that has been kept in the sector for the development of community sport and has enabled clubs to spend it on everything from facilities to kit.
CASC clubs get exemption from corporation tax on bank and building society interest, on profits from trading and fundraising where gross income is less that £30,000 per annum, and on income from property where gross income is less than £20,000 per annum. Plus exemption from corporation tax on chargeable gains.
A website has been set up about CASC, it can be accessed at www.cascinfo.co.uk.
Applying for CASCYour club will need to fulfill certain criteria to qualify. The governing document (constitution, memorandum and articles, club rules) must make explicit four things relating to how the club is run.
First, that there is a policy of open membership and the club does not discriminate in terms of sex, race, religion, or ability. Second, that the core purpose of the club is to promote one or more sports or activities.
Third, that the club is non-profit-making and any surplus profits get reinvested into the club. And fourth, that there is a dissolution clause stating that in the event the club is wound up, any remaining assets be distributed to either the governing body of the sport(s), a charity or another CASC.
Applicant clubs are asked to state membership categories and fees, which must be reasonable. Social membership must make up no more that 50 per cent of the total.
The CASC Application form can be downloaded from this page and is also available from HM Revenue and Customs, which administers the scheme. The form should be sent to HM Revenue and Customs with any supporting documents, such as the club constitution. Comprehensive advice and guidance information is available from the Central Council of Physical Recreation (CCPR) and from HM Revenue and Customs.