Speculation that HMRC has given a special exemption to Tour Operators regarding VAT on green fees has been circulating for some time without confirmation. Paul Stewart, of KPMG, has now verified that this exemption has been granted, and was effective from January 2018. Paul clarified that ‘the agreement reached with HMRC was that where a green fee is charged to a tour operator who on supplies it acting in his own name together with travel/accommodation then the green fee is exempt’. Paul also suggests that those clubs who deal with tour operators may wish to send the following wording to them: - -- Dear Tour Operator I write to you in relation to golf tee times which you book at xxx In doing so, I wish to advise you that I proceed on the clear understanding that when you make these bookings at xxxx you are also making other travel and/or accommodation arrangements for your clients as part of a bespoke package. This is relevant in relation to the taxation regime in the UK and enables the Club to treat visitor green fees booked by you as exempt from Value Added Tax. I do not require you to confirm my assumption, but I would ask that you advise me of any instance in the future where this does not apply. Thank you for your assistance in this matter and I look forward to continuing to work with you in the future. Yours…. --
This is member only content
Please LOGIN to read the full
Not a member? Please click here to join today.