Update plus Q and A on club fund-raising scheme

[Wellsie]

With a number of questions about the new scheme received, we have developed a formal update and Q & A which is available on the official club website; both as a news item and in the Commercial pages.

 

As the item says, we'll continue to keep supporters updated about progress as we go.

[Chris1]

Sorry, one more question (a pain aren't I?), on here because most potential participants will want to know:

 

There must be a VAT regulation about such a scheme. Is it purely a 'donation', and therefore no invoice to offset against tax, or is it an invoiced transaction? If the latter, then presumably the £300 is subject to VAT like the other sponsorship deals (which would make the price £352.50 for individuals, although VAT registered companies will get the tax back).

[Wellsie]

I'll double check but I don't believe there is a VAT issue because of course, no one will "buy" advertising or sponsorship. People / businesses will make a donation for which they will be eneterd into a draw for a range of benefits. In the meantime, if this is a potential issue for your / your company then again I'd suggest contacting the club directly.

[Chris1]

Ok, I'll wait for the answer. But it will also be an issue for the club because HMRC aren't deeply in love with Margate FC, are they, and if they deem MFC to have been selling sponsorship without charging VAT there could be trouble ahead IMO.

 

PS. I'm not trying to make waves here, but it does need clarification.