Dover Athletic mentioned in Commons

[PJ-STFC]

Apologies for blantantly nicking this from the DAFC forum (link), but thought it might be of interest to you all:

 

Quote:

Yesterday (Thurs 9th) in Parliament:

 

Mr. Gwyn Prosser (Dover) (Lab): Has the Leader of the House heard about the plight of Dover Athletic football club, which, in common with many other charitable trusts, is facing bankruptcy or possible closure because of retrospective VAT liabilities? Will he arrange for a debate on the Floor of the House to examine the impact of the complex VAT rules on small struggling clubs such as Dover Athletic which add so much value to local communities?

 

[color:"purple"]Mr. Hain: I was very concerned to hear about the predicament of Dover Athletic football club, because such clubs play a vital role in the local community, especially by bringing youngsters into creative forms of energy use rather than the alternatives ones that often disfigure our local communities. I know that my hon. Friend has strongly supported the club, is having discussions with the chiefs of the VAT collection service in the south of England, and is making representations to Treasury Ministers. As a result of his representations, let us hope that we can find a way to make sure that Dover Athletic is not plunged into bankruptcy, which it now faces. [/color]

 

 

I know that this does not help our cause (STFC returning to Slough) one iota, but it is good to know that the current plight of non-league football is starting to be recognised at the highest levels.

 

PJ <img src="/forum/images/graemlins/chat.gif" alt="" />

[BFR]

Shame for them really the point was made to Peter Hain.

[Guest]

Nothing against Dover Athletic but isn't one of their problems the fact they owe VAT payments on hot food sold which they thought was not VATable. I've every sympathy for Dover but if that's a contributory factor to their current plight it's a huge [****!!****] up on their part not a fault of the VAT rules.

[PJ-STFC]

The specific issue being raised is the need for DAFC to pay off the entire VAT bill by a deadline that puts the existence of the club in jeopardy, rather than allowing them to arrange staged payments (for example).

 

There was a failing/misunderstanding by one of the directors over the issue, and he has now admitted this and resigned to ensure that his presence on the board does not prevent other investors from coming forward.

 

PJ <img src="/forum/images/graemlins/chat.gif" alt="" />

[Burnham Lad]

Quote:

......... because such clubs play a vital role in the local community, especially by bringing youngsters into creative forms of energy use rather than the alternatives ones that often disfigure our local communities........ ]

Councillors Stokes and Janik, please note - A government Minister, Peter Hain, believes what we keep trying to tell you - Local football clubs are a vital part of the local community, capisce? Now do you get it?

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[Barry Scott]

i thought it was capishe?

[defrancog]

Take my word for it......it should be capisca......but this is pronounced as KAPISHA....but those Americans never say the last "a"

[Burnham Lad]

OK, so my Italian is useless! I accept the criticism!

 

But what about the MESSAGE?

 

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[coupwotcoup]

Isn't that a Hungarian flag sidways on?

[defrancog]

You want to be careful about insulting Italians- concrete overcoats, horse in your bed and some boys who will happily drill some holes in your kneecaps and that's just my Mum

[charlie]

not to mention fishes and slight dozing...

[PJ-STFC]

DAFC are continuing to get good publicity - this time from an article in The Times:

 

Quote:

December 14, 2004

 

Pie tax ensures that the chips are down for Dover

By Rick Broadbent and Andrew Stucken

 

 

 

 

 

EATING a festering pie at a football ground has long been regarded as the fat man’s extreme sport, but the VAT man has weighed into the argument about the true value of this much-maligned institution.

 

In a move that has pushed Dover Athletic, the Ryman League premier division club, to the brink of closure and sounded a warning to clubs the length and breadth of the country, tax inspectors are demanding their pound of flesh for every quarter-pounder sold. Clubs who believed that the sale of hot food and drink was VAT-free have been told that notion is pie in the sky. For many, it is no joke.

 

The problem surfaced when Dover had a routine VAT inspection in October. Misguidedly thinking that hot food sales were zero-rated, they were shocked to be hit by a bill for £13,000, dating back to 2001, under regulation 709/1.

 

Dover were already facing a demand for £23,000 under a clause in their Company Voluntary Arrangement and have launched a frantic appeal to raise all the money by December 31 or face the prospect of a winding-up order.

 

Since news of their plight broke, the hastily formed Dover Athletic Fighting Fund has been taking calls from worried treasurers, accountants and pie-eaters around the country. Even clubs from the Coca-Cola Championship have reportedly been in touch. A Zurich Premiership rugby union club is also understood to have privately admitted to the same transgression, as have a number of other non-league football clubs.

 

Manchester United are in the clear, however, with Mike Wells, the chief accountant at Old Trafford, confirming that their club’s culinary mishaps have been confined to the post-match buffet. “Pretty much everything we sell inside the stadium is VAT-able,” he said. “Customs would probably argue the premises even include the car parks. The only way to avoid VAT would be to consume the products in the road outside.”

 

The claim by some Dover fans that the fare served up at their Crabble ground is not food and therefore deserves to be exempt has fallen on deaf ears. A Customs and Excise spokesperson said: “Hot food for consumption and takeaway is standard-rated and has been for some time. But Customs and Excise will always work to reach a reasonable settlement.”

 

The community has rallied to Dover’s aid and the Fighting Fund stands at £21,000 after just a fortnight. Politicians from all parties are also getting involved and Gwyn Prosser, the MP for Dover and Deal, raised the matter in the House of Commons last week.

 

Dover owe about £4 per fan per season for unpaid VAT on hot takeaway food and drink. On that basis, a club averaging crowds of 500 over 30 home matches per season would owe £6,000 for the same three-year period, while gates of 50,000 would create a £600,000 shortfall.

 

For the punter seeking some pre-match stomach lining, it promises to be a cold Christmas at the club kiosk.

 

(Again nicked from DAFC forum.)

 

 

PJ <img src="/forum/images/graemlins/chat.gif" alt="" />

[Guest]

it's not just the Times..

Have also been on Talk Sport & Radio 5 today too